Bengaluru’s residential property market is undergoing a quiet but consequential shift, as rapid price escalation in key employment corridors steadily erodes the feasibility of buying a home within a Rs 1 crore budget. For many first-time buyers and mid-income households, the city’s housing geography is being redrawn, pushing ownership further from established urban centres.
Across major technology-driven corridors such as Whitefield, Sarjapur Road and Yelahanka, average apartment prices have climbed sharply over the past year. Market trackers indicate that per square foot rates in these locations now commonly range between Rs 15,000 and Rs 18,000, placing even compact two-bedroom homes beyond the Rs 1 crore threshold. This has intensified affordability concerns in a city long regarded as India’s most accessible large metro for salaried homebuyers. Industry analysts point out that Bengaluru’s residential price growth, estimated at around 12% year-on-year in 2025, has outpaced income growth for a large segment of buyers. As a result, homes priced at or below Rs 1 crore are increasingly absent from new launches within the city’s established residential and commercial zones. Instead, this price band has migrated to the urban periphery. Emerging corridors such as Kanakapura Road in the south, Devanahalli and Doddaballapur Road in the north, and the outer stretches of eastern Bengaluru beyond Varthur are now among the few areas where buyers can still find newly built apartments near the Rs 1 crore mark. These locations are typically 15 to 20 kilometres from major job hubs and remain in various stages of infrastructure development. Residential consultants note that while these peripheral markets offer newer homes, larger layouts and modern amenities, they also come with trade-offs.
Commute times are longer, public transport connectivity is still evolving, and social infrastructure such as hospitals, schools and neighbourhood retail is unevenly distributed. For daily commuters, these factors significantly influence quality of life and long-term housing satisfaction. Within the city’s core neighbourhoods, options under Rs 1 crore largely exist only in the resale market. Older apartment buildings in areas such as Indiranagar, Koramangala or parts of south Bengaluru occasionally fall within this price range, but often lack features now considered standard, including dedicated parking, lifts, security systems and common amenities. Urban planners warn that ageing housing stock will increasingly dominate this affordability bracket unless policy or market interventions expand mid-income supply closer to employment centres. Data from housing platforms suggests that a substantial share of homes previously considered “affordable” have effectively moved out of reach for new buyers, even as demand for ownership remains strong. Many renters, facing steadily rising monthly rents, are attempting to transition to ownership, further intensifying competition for limited inventory.
Looking ahead, housing experts argue that Bengaluru’s challenge is no longer demand, but spatial balance. Without faster public transport expansion, inclusive zoning and higher-density housing around transit corridors, affordability pressures are likely to deepen. As the city grows outward, ensuring that new residential zones are supported by resilient infrastructure and civic services will determine whether Bengaluru remains liveable for its workforce or becomes increasingly fragmented by income and distance.
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Bengaluru housing affordability tightens for mid income buyers
