Bengaluru, Apr 7 (IANS): Soaring rents in Bengaluru have emerged as a major challenge for the software professionals who are already affected by salary cuts and fear of layoffs.
As companies are slowly coming out of hybrid working mode and making reporting to office compulsory, techies from across the country are coming back to Bengaluru and settling down.
The rents for flats, independent houses and residential facilities in Bengaluru, especially those which are close to IT parks, have almost doubled.
The techies, especially those in early phase of their career, are finding it difficult to afford exorbitant rents and they are considering to migrate to distant localities that have afforable rents as well as good connectivity with their workplaces. Bachelors are coming together to share the living space while married ones are finding it hard, explain industry sources.
Magicbricks Property Index Report for January to March revealed that residential demand (searches) in Bengaluru increased 10.3 per cent QoQ, making it amongst the top 3 preferred metros in India.
During the same time, residential supply (active listings) observed a marginal decline of 1.1 per cent QoQ and the demand-supply mismatch led to an increase of 2.5 per cent in the average property rates.
The average rates of ready-to-move and under-construction properties increased 2.5 per cent and 2 per cent QoQ, respectively.
The report also stated that Bengaluru records the second highest increase in residential demand (10.3 per cent QoQ).
Sarjapur Road emerged as the most preferred residential area in Bengaluru, the report said.
The report also revealed that 3BHK configurations gained the highest traction commanding a share of 48 per cent in the total residential demand during this (January-March) quarter and 43 per cent share in the total supply (listing).
This was followed by 2BHK configurations which held 38 per cent share of the demand and 43 per cent of the supply in the city.
Elaborating on the trends, Sudhir Pai, CEO, Magicbricks commented: "Several multilateral agencies have projected that the Indian economy will grow by 6-7 per cent in FY23, despite the global slowdown. The recent Union Budget has also introduced several encouraging initiatives, including substantial allocations to PMAY and UIDF, which have set the wheels in motion for facilitating employment opportunities and infrastructure development.
"Given the under-served demand for home-ownership in the affordable and mid-range segment, we are optimistic about the growth trajectory for residential demand in the coming quarters as well. We anticipate that the market will stabilise, supplemented by new projects and expedited delivery of under-construction properties, which will open up new avenues for investment and innovation."