Bengaluru real estate: Here’s why demand for villas in the IT capital is rising

Demand for villas has increased in Bengaluru, with several developers launching affordable projects in outskirts of Whitefield in the ₹2-5 crore price range

Updated on: Jan 22, 2025, 10:01:38 IST

By Souptik Datta

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Sudarshan Kapoor has been working in Bengaluru's IT sector for the last four years. Only last year did he finally decide to invest in a villa near the eastern IT corridor of Whitefield.

Bengaluru real estate market has seen several launches of villa projects in the outskirts of Whitefield in the ₹2-5 crore price range. (Representational Image) (Unsplash)

"I paid about ₹3.5 crore for a duplex villa project of about 1800 sq ft. This is my first investment in real estate, and I have always wanted to go for a villa project due to the address it provided and the luxury amenities that come with it," he said.

About a decade ago, villas were a luxury proposition for Bengaluru, and only a few buyers could afford them. However, local brokers say the demand for villas has increased, and several developers are now launching villas in the luxury segment priced between ₹2 crore and ₹5 crore.

Also Read: Bengaluru real estate: Here’s why US-based NRIs prefer to invest in North Bengaluru

Here’s how the villa housing segment has evolved in Bengaluru

The pandemic opened up the villa option for a broader range of buyers, both in the luxury and affordable segments. Villas have always been marketed as lifestyle products, where the buyer owns the space within the unit and the land on which they are constructed.

"Initially, villas spread across 3000 sq ft and priced at more than ₹10 crore were offered in the market. These spaces used to have their own backyard and terrace space, where buyers can put up luxury amenities like a swimming pool, zen garden, or a bar counter," Manjesh S Rao, Chief Real Estate Officer at BrokerInBlue, told HT.com.

Today, the range has become affordable. Villas of 1500 to 2000 sq ft that cost between ₹2 and 5 crore are in the market. "The size of the villas has shrunk, and more people can afford them,” he added.

Local brokers said this has led to a surge in demand for villas within the ₹5 crore range, surging by at least 20-25% post-pandemic.

Also Read: Bengaluru sees 81% drop in luxury housing sales: CBRE

North and East Bengaluru top in demand for villas

Northern parts of the city, like Hebbal and Hennur, and the outskirts of East Whitefield have become sought-after locations for villas.

In these areas, luxury villas are available for over ₹15,000 and 18,000 per sq ft. Also, affordable villas in the range of ₹8000 and 10,000 sq ft are in demand.

These villas are typically duplex properties with carpet areas between 1,500 and 3,000 sq ft, surrounded by a patch of green.

Affordable land parcels are available in North Bengaluru, and the development of satellite towns, metro lines, and expanded road networks has helped sustain the demand.

Rao added that villas offer potential buyers larger housing space and the additional appeal of exclusive property ownership.

NRIs share in villa investments up

Local brokers say among the major buyers of villas in Bengaluru, NRIs comprise about 20-25%. "The share of NRI buyers has increased from 10% a few years back to almost 25% now. We are transacting several deals with NRIs who have returned to India and are looking for luxury villas upwards of ₹10 crore," Rao added.

Local brokers add that buyers today prefer to invest in a villa to move into a new place or as a post-retirement plan. "Towards north Bengaluru, we see a majority of buyers from the hospitality and BFSI segment. Meanwhile, towards the east, we see buyers from the IT sector due to its proximity to the IT corridor," Rao added.

ABOUT THE AUTHOR
Souptik Datta
Souptik Datta is a deputy chief content producer at Hindustan Times Digital, where he reports on southern India with a focus on real estate, urban infrastructure and environmental urban issues. His coverage tracks the intersection of policy, capital flows, regulation and sustainability, examining how these forces shape housing markets, commercial real estate and large-scale infrastructure development across rapidly transforming cities. He also closely tracks civic issues affecting urban residents, including property taxation, planning approvals, public transport expansion, water stress, waste management and the governance challenges that influence everyday life in India’s metros. Souptik’s reporting is driven by a strong interest in accountability, consumer rights and the lived realities of homebuyers and investors navigating volatile pricing cycles, regulatory changes and project delivery risks. He frequently analyses project launches, land monetisation strategies, planning frameworks, RERA-related developments and the broader implications of infrastructure investments on emerging growth corridors. His work blends on-ground reporting with data-backed analysis and long-form explainers aimed at demystifying complex real estate and infrastructure developments for readers. He is an alumnus of the Indian Institute of Journalism and New Media. Before joining Hindustan Times Digital, Souptik was associated with Moneycontrol at Network 18, where he covered real estate, infrastructure and allied sectors, producing market insights, policy-led stories and in-depth features. Outside the newsroom, Souptik is an avid solo traveller and documentary enthusiast, exploring diverse regions and visually documenting unique narratives through film and photography. In his early career, Souptik also freelanced as a documentary photographer, independently working on visual storytelling projects that captured grassroots narratives, urban change and everyday life. He can be reached at souptik.datta@htdigital.in.Read More

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