Bengaluru and Hyderabad, two of India’s foremost tech hubs, have witnessed a remarkable surge in property prices, with increases exceeding 80% in various locales since 2020. According to a recent report by Anarock, the price appreciation in these cities is driven largely by the influx of IT and ITeS professionals who have been less affected by the pandemic compared to other sectors.
The report highlights that Bengaluru’s Bagaluru has experienced the highest appreciation, with residential prices soaring by 90% from late 2019 to June this year. Whitefield, another major tech-centric locality, saw property prices rise by nearly 80%, while Sarjapur Road recorded an increase of 58%. In Hyderabad, Kokapet, located near the airport, saw property values climb by 89%, with Bachupally and Tellapur following with increases of 57% and 53%, respectively.
The surge in demand for residential real estate in these southern cities can be attributed to a shift in housing preferences during the pandemic. As remote work and uncertain global conditions made owning a home more appealing—especially to millennials who had previously favoured renting—the demand for property surged. This shift has significantly boosted the real estate markets in Bengaluru and Hyderabad, reflecting broader trends in urban housing dynamics.
The impressive rise in property prices in Bengaluru and Hyderabad underscores a significant shift in the real estate landscape, driven by the sustained demand from IT professionals and evolving housing needs during the pandemic. As these cities continue to attract tech talent and experience growing residential demand, the trend towards higher property values is expected to persist.
