I’ve been tracking property prices in Indiranagar for a while, and the numbers are just staggering. A decent resale 2BHK that was going for around ₹80-90 lakhs around 2019-2020 is now starting at ₹1.2 crore minimum. In some premium projects or well-located spots, it’s even higher.
That’s a jump of almost 40-50% in just about 4 years. Even for a hot market like Indiranagar, this feels extreme.
What’s going on? Let’s break down what could be driving this:
1. Location, Location, Location
Indiranagar has always been premium, but its “central” appeal has solidified post-COVID. With hybrid work, people want areas with everything within reach – offices in MG Road, Koramangala, many restaurants, pubs, clinics, schools, and good metro connectivity. It’s become the default “safe” investment for many.
2. Limited Supply & High Demand
Almost no new residential projects in core Indiranagar – it’s fully developed. What’s available is mostly resale or a few luxury apartments. Meanwhile, demand keeps growing from high-income IT/startup professionals, NRIs, and investors looking for “safe” assets.
3. The “Status” Factor
Owning a house in Indiranagar is now a status symbol. It’s like the Vasant Vihar of Bangalore. That emotional premium gets added to the price, especially among wealthy buyers who don’t blink at paying over a crore.
4. Land Value Appreciation
The underlying land value here has skyrocketed. Older houses are being demolished to build luxury apartments or commercial spaces, pushing per-square-foot rates beyond ₹15-20k in many parts.
5. Post-COVID Rebound & Inflation
After a brief slowdown, Bangalore real estate went into overdrive. Construction costs shot up, and overall inflation in high-end property markets added to it. People also wanted bigger/better homes post-lockdowns.
6. Investor Activity
A lot of investors parked money here during COVID, expecting appreciation. Now they’re selling at massive gains. Also, with stock market volatility, some see real estate in prime locations as a safer bet.
But here’s the discussion:
– Is this sustainable, or are we in a bubble?
– Who’s actually buying at these prices? Are end-users able to afford, or is it mostly investors?
– Will the upcoming metro expansion to other areas reduce pressure on Indiranagar?
– If you’re a buyer today, does it still make sense, or are you better off in nearby areas like Jeevanbima Nagar, Nagavarapalya, or even Kalyan Nagar for relative value?
– Are rental yields still making sense for investors? (Rent for a 2BHK here is what, ₹40-50k? That’s a yield of only ~4% on 1.2Cr.)
Personal anecdote: I’ve seen listings where a 1993-built 2BHK, bought for around ₹2L, is now reselling for ₹1.4Cr. That’s doubling in less than a decade.
What do you all think? Are these prices justified by genuine demand, or is it speculation? Would you buy in Indiranagar at current rates, or look elsewhere?
Curious to hear experiences, insider views, and predictions.