CAUSE
One question. One truth.
“Why is rental housing expensive in Bangalore?”
Bangalore's expensive rental housing is primarily due to a supply-demand imbalance. Rapid IT sector growth and urban migration concentrate demand in key corridors, while affordable housing near major tech hubs remains limited.
Medium confidenceStructural
CURRENT STATE
This imbalance has caused rental increases of 15–25% in prime Bangalore areas over two years. Small flats rent for ₹30,000–₹40,000 monthly, with security deposits reaching ₹1.2–₹2 lakh. Demand exceeds supply in North Bangalore, Whitefield, and Koramangala.
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