Bengaluru's Housing Boom: 14% Growth Driven by IT Sector and Startups

The Bengaluru housing market saw a 14% sales volume growth in the first half of the fiscal year, driven by strong demand, predominantly in the IT sector and vibrant startups. Experts project a 3-5% rise in sales by fiscal 2026. The city remains a top real estate destination in India.

Bengaluru's housing market experienced a significant upswing, with sales volume increasing by 14% to 52 million square feet in the first half of the fiscal year, propelled by demand from the thriving IT sector and startups, as reported by credit rating agency ICRA.

Looking ahead, ICRA projects a 3-5% increase in sales volumes during the 2025-26 fiscal year, spurred by sustained demand in both the mid-income and luxury housing segments. Notably, Bengaluru accounts for 14-15% of the total residential area sold among India's top seven metropolitan regions.

Industry leaders, such as Karishmah Siingh from Sattva Group, emphasize the role of IT and GCC sector expansion in shaping new homeowner patterns. Additionally, experts like Ramji Subramaniam and Bhavesh Kothari highlight the city's appeal due to its robust economic foundation, attractive investment opportunities, and strong developer presence.

(With inputs from agencies.)