Greater Noida, Gurugram India’s costliest rent hubs, Bengaluru third

Greater Noida in Uttar Pradesh and Gurugram in Haryana are the two most expensive cities for rented accommodation in India, while the Karnataka’s Capital city Bengaluru ranks third.

Among the two cities on the fringes of Delhi that have emerged as India’s costliest rent hubs primarily driven by IT and corporate professionals seeking haven in these places, rent in Greater Noida grew by 32.1 per cent in the March quarter while Gurugram saw an increase of 24.5 per cent. In Bengaluru, the upsurge was 23.7 per cent.

Greater Noida, Gurugram and Bengaluru lead a list of 13 major Indian cities that saw an average increase of 16 per cent in house rent in the March quarter on a year-on-year basis, a report by the online real estate company Magicbricks revealed. The sequential rise in rent during the quarter of January to March was 2.8 per cent, compared to the quarter between October and December 2023 when the sequential increase was 1.6 per cent.

The conclusions of the report are based on replies of more than two crore customers. Of these, 42 per cent customers afford a monthly rent of Rs 10,000 to Rs 30,000 and comprise the biggest segment.

The demand for rented accommodation was the highest in Chennai, Navi Mumbai and Noida on a quarterly basis. A shortfall can be noticed here vis-a-vis demand, with only a marginal growth of 1.8 per cent (quarter-on-quarter) being recorded. Available accommodation for rent filled up rapidly in these cities.

Chennai witnessed an upsurge of 25 per cent quarter-on-quarter in the March quarter, as far as demand for rented accommodation goes. On the other hand, the quantum of growth in terms of demand for rental homes in Navi Mumbai grew by 20.1 per cent. In Noida, the increase was around 19.2 per cent.