Bengaluru’s residential real estate market witnessed a tempered performance during the July-September 2024 quarter, marking a period of stabilisation following months of rapid growth. Data indicates that 25,259 residential units, including apartments and plots, were registered, amounting to a total transaction value of ₹15,739 crore. This represents a 15% year-on-year decline in sales value compared to the corresponding period in 2023.
The average home price fell to ₹62 lakh, a 7% decline from last year, signalling a recalibration in pricing after sustained upward trends. Despite the decline, 86% of property transactions were concentrated in the sub-₹1 crore segment, reflecting continued dominance of the affordable housing segment. Notably, 47% of these transactions involved properties sized between 1,000 and 1,500 sq. ft., aligning with growing demand for spacious homes driven by hybrid work culture.
North Bengaluru emerged as a key hotspot, accounting for 40% of total transactions, driven by its proximity to Kempegowda International Airport. Localities like Chikkasanne and Chikkasandra experienced heightened demand, particularly for plotted developments. Meanwhile, South Bengaluru also witnessed notable activity, with Jayanagar achieving the highest sales value at ₹469 crore, while Krishnarajapuram led in transaction volume, with 192 units sold. Market experts suggest that while the current dip in transactions reflects a natural market adjustment, the upcoming festive season could reignite demand. Expanding infrastructure, particularly the metro network, alongside a robust IT sector and increasing office uptake, is expected to bolster real estate activity in the coming months. Developers remain focused on catering to buyer preferences by offering larger, value-driven apartments. With a strong middle-class buyer segment and sustained interest from investors, Bengaluru’s real estate market is poised for recovery, aligning with broader economic momentum as the festive period unfolds.
