realestate

Bengaluru property market: NRI demand wanes, prices rise - correction on the horizon?

Bengaluru real estate: Slowing investor demand, especially from NRIs, raises concerns

B
engaluru's real estate market is a hot topic among Redditors, with many questioning the sustainability of the city's property boom. Some users believe that a slowdown in demand from US-based NRI investors could trigger a downturn, while others think increasing supply will stabilize prices. The city's real estate market has seen a price surge due to post-Covid inventory shortages and rising demand. However, with new supply on the way, many wonder if a market correction is imminent.

    Some Redditors argue that rapid development will stabilize prices, while others believe demand will keep rates elevated as Bengaluru continues to attract tech talent and investors. A significant influx of new supply has led some to question whether a market correction is inevitable. With economic uncertainties and a slowing job market in global markets like the US, some investors are reassessing their real estate investments in Bengaluru.

    A Reddit user highlighted concerns about the future of Bengaluru's real estate market from an NRI investment perspective, citing difficulties repatriating funds from India and the ease of liquidity and withdrawal in global stock markets. Another user added that prices in Bengaluru are heavily overinflated, with American NRIs pulling back due to job uncertainty in the US.

    Despite these changes, Redditors argue that a market crash in Bengaluru is unlikely, citing the continued presence of major tech employers like Microsoft, Amazon, and Google as a key factor preventing a collapse. These corporate giants' continued presence ensures sustained housing demand, keeping property prices stable or rising. Real estate experts predict moderate 5-10% rental growth in 2025, followed by potential stagnancy in 2026, with little chance of rentals going down in the IT capital.

Bengaluru property market: NRI demand decreases, prices increase amidst correction predictions.