Bengaluru Home Buyers Hunts Outskirts for Affordability

Many homebuyers are accepting that real estate prices are unlikely to decline anytime soon—unlike the stock market, they may at most stay unchanged over the coming years—in light of Bengaluru's growing housing expenses and growing affordability gap.

Most new residential buildings are now appearing on the outskirts of the city as homes in prime districts and the city center become more and more pricey. For a lot of homeowners, this means sacrificing accessibility for affordability.

The demand to purchase real estate in the Rs. 80 lakh to Rs. 1 crore ranges decreased by 8.5 percent in the first half of 2024, according to data from NoBroker. Demand for properties priced between Rs. 60 and Rs. 80 lakh decreased by 12 percent. Bengaluru saw the most price increase of the top seven cities between January and March 2025, with rates rising 16 percent to Rs. 7,116 per square foot, according to statistics provided by Knight Frank India.

As prices in the city centre and established areas remain out of reach, most new residential launches are shifting to Bengaluru’s outskirts. This trend is stretching the city’s boundaries and forcing buyers to consider the trade-offs between affordability and convenience.

"The new projects keep on horizontally stretching the landscape, and honestly, I don’t want to travel farther and farther (possession is 27 months), taking a gamble on the area to develop," another Reddit user wrote.

"Everyone knows Bengaluru real estate is pretty bad now. Many people are in the same boat as I, who cannot purchase a decent flat due to this real estate bubble. Real estate prices will not go down like the share market, maybe prices will be stagnant for some years, but that too we are not sure," one of the Redditors wrote.