Bengaluru tenants turn to property investment to escape rental exploitation by landlords

Hefty deposits, arbitrary deductions, and landlords' refusal to return security money are driving tenants in Bengaluru to consider buying property over renting

In Bengaluru, growing discontent among prospective tenants is shedding light on rigid and often exploitative rental practices. A Reddit post drew attention to issues such as six-month security deposits, arbitrary maintenance deductions, and landlords' reluctance to return security money, trends that are prompting even short-term residents to consider buying homes instead of renting.

In Bengaluru, high deposits, unfair deductions, and delayed refunds are pushing even short-term tenants to consider buying rather than renting. (Representational Image)(Souptik Datta )

What was once seen as a flexible housing option is now increasingly viewed as a financial trap. Many tenants say they're choosing homeownership not as an investment, but as a way to escape rental exploitation. In one example, a landlord reportedly deducted ₹2,500 from the deposit for a table lamp that likely costs no more than ₹500 in the market.

"Tired of flat owners, especially in Bangalore. Recently relocated to another location in Bangalore itself. First, they take a 6-month deposit and advance rent," the post read.

"When you want to vacate, landlords tell us that they want to change everything, as you have made things old. Don't even have the intention of paying the deposit amount, even after deducting high maintenance charges. That's why even people with short-term stay in the city want to buy a flat and move out of this extortion," it said.

What was once seen as a flexible housing option is increasingly perceived as a financial trap, reshaping how people view real estate in the city, not as an investment, but as a means to escape rental exploitation.

'Charged ₹2,500 for a table lamp that retailed for around ₹500'

In one such case in Ramagondanahalli, a tenant who had vacated a fully furnished villa at Waterwoods faced an unexpected ordeal while recovering their security deposit. The landlord initially sent a representative to inventory the furnishings after the move-out. The representative confirmed that all items were intact.

However, complications arose when the same individual, also tasked with handling renovation work for the next occupant, allegedly discarded several older items on his own. Following a fallout, the landlord terminated the renovation worker and chose to inspect the property personally. By then, the discarded items were no longer present.

"Despite this, he started deducting money from our deposit, charging as much as ₹2500 for a table lamp that likely costs only ₹500 in the market (which was obviously there when we returned the house keys). He deducted close to 1 lakh rupees for items which were discarded by his renovation guy," the tenant wrote.

'Painting charges are expensive', landlords defend themselves

Another Bengaluru landlord highlighted the growing challenges property owners face with tenant turnover.

"A fresh coat of Royal/Premium Asian paint burns the wallet big time, and if a previous tenant leaves within 1 year or two because they have to go to Australia or Europe, that messes up everything," he wrote.

In one instance, the landlord had a tenant who applied wallpaper across the living room and repainted the walls for personal preference. When the tenant vacated, removing the wallpaper tore off the underlying putty, and the walls had to be restored to neutral shades. The repair and repainting process, which cost him over ₹1.5 lakh, stretched over two months due to limited labour availability and restrictive work-hour policies enforced by the Residential Welfare Association (RWA).

"But there are owners who just want to charge unnecessarily because it's easy money," he wrote.

'The cost of owning a home in Bengaluru outweighs the hassle of rental issues'

While acknowledging the challenges many tenants face, particularly around recovering security deposits and dealing with difficult landlords, another Redditor argued that these issues alone shouldn't drive the decision to purchase a home.

"It is a personal opinion, but I don't think the cost to own a house in Bengaluru is worth comparing with the hassle of recovering money from landlords," he wrote.

"It’s only a prudent choice if someone genuinely wants to buy a house for long-term stability or emotional security," he noted, emphasizing that financial decisions should be based on broader life goals rather than short-term struggles.