NRIs bet big on Bengaluru real estate, driven by strong dollar and US visa uncertainty
CREDAI Bengaluru president Zayd Noaman said NRI interest in city's real estate is rising, due to stronger dollar making Indian investments more attractive
While domestic buyers continue to dominate Bengaluru's real estate sector, demand from non-resident Indians (NRIs) is on the rise, driven by the appreciating dollar and ongoing visa challenges in the United States, according to Zayd Noaman, president of CREDAI Bengaluru, in an interview with HT.com.
He said that the appreciating dollar has rendered Indian real estate investments increasingly attractive to NRIs, particularly those with a long-term investment horizon.
"In recent years, we have seen a noticeable increase in NRI participation, driven by the appreciating dollar, making Indian investments more appealing, especially for long-term prospects," Noaman said.
He noted that uncertainties surrounding US visas have prompted many NRIs to place greater trust in India’s long-term growth story. "Amid the current uncertainty in the US, we anticipate that once the situation stabilizes, capital will start flowing back into India," Noaman remarked.
Noaman expressed optimism about the potential positive impact on Bengaluru’s real estate market, driven by increased NRI investments. However, he cautioned against the possibility of a sharp rise in property prices from current levels.
Despite the inevitable shifts in global geopolitics, factors such as Trump-era tariffs are not perceived as significant challenges for the Indian real estate sector. Instead, the industry's primary focus should be on fostering innovation and leveraging technology, he said.
With a stronger emphasis on local manufacturing, the government’s Atma Nirbhar Bharat initiative is poised to strengthen the real estate sector and bolster the broader economy in the long run, he said.
Bengaluru's housing demand predominantly driven by the IT sector, salaried professionals
Noaman said that Bengaluru provides a comprehensive ecosystem for the tech industry, encompassing education, a robust talent pool, and ample opportunities for the real estate sector.
He noted that most real estate buyers in Bengaluru are salaried professionals, with a significant number relying on home loans. "The majority are employed in IT companies or in roles that support the tech industry. As apartment prices continue to climb, we are also seeing growing interest from CXOs and business professionals, particularly those linked to the technology sector," he said.
Regarding housing sales, Noaman noted that Bengaluru witnessed a slight decline in sales during the first quarter of 2025 compared to the previous year. Unlike the fast-moving consumer goods (FMCG) sector, real estate is highly dependent on regulatory approvals and compliance, which can lead to delays in project launches.
He pointed out that last year’s multiple elections also slowed down the approval process. Currently, Bengaluru has one of the lowest levels of unsold inventory among major cities, with just 2–3 years' worth of supply available in the market. Noaman said that as older inventory gets absorbed, and if new approvals are expedited, the supply situation is likely to improve.
