Bengaluru's Housing Market Soars: Sales Expected to Rise 21% in Q3 2025
Bengaluru's housing market is booming, driven by strong end-user demand and a thriving economic ecosystem. Sales are projected to grow by 21% in the July-September quarter of 2025.
BengaluruHousing MarketReal EstateIt SectorEndusersReal Estate NewsSep 28, 2025
As per the PropEquity data, India's top 9 cities are likely to witness a 4 per cent decline in housing sales in the quarter ending September, mainly due to lower demand in the Mumbai region and Pune.
The housing sales in the ‘Silicon Valley’ of India are estimated to rise by 21 per cent in July-September, reaching 16,840 units. This is a considerable increase compared to the 13,966 units sold in the same period last year, reported PTI.
During the January-September period of 2025, sales of residential properties are likely to climb to 49,559 units, up from 46,392 units in the corresponding period of the preceding year.
Real estate developers anticipate that the festive season will further boost sales in Bengaluru during the fourth quarter of this calendar year, ensuring the year closes on a strong note. This outlook follows a dip in the 2024 calendar year, where sales stood at 61,116 units, down from 66,600 in 2023.
The market has shown resilience since the COVID pandemic year 2020, when sales stood at only 34,480 units. However, the demand revived in subsequent years due to pent-up demand, with sales increasing to 43,181 units in 2021 and 60,391 units in the 2022 calendar year, noted PTI.
On the other hand, the total housing sales across nine cities are estimated to fall 4 per cent to 1,00,370 units during the July-September 2025 period, as against 1,05,081 units in the year-ago period.
Key Drivers of the Demand in Bengaluru
Industry experts attribute Bengaluru's robust demand to several factors such as its strategic position, genuine end-users, and a variety of economic, social, and lifestyle factors.
- Genuine Homebuyers: Karishmah Siingh, Bengaluru-based Sattva Group's President of Sales, Marketing & CRM, said that the boom is driven by genuine homebuyers, making the growth “exceptionally sustainable.”
- IT and Corporate Hub: The city's position as a preferred destination for multinationals and GCCs, along with a thriving IT and startup ecosystem, creates massive demand for quality housing.
- End-Users: Umesh Gowda H.A, Sanjeevini Group Chairman and Founder, noted that the demand is primarily driven by end-users, particularly those working in the IT sector and startups.
- Lifestyle and Infrastructure: Anjana Sastri, Director - Marketing of Sterling Developers, highlighted a combination of economic, social, and lifestyle factors. These include employment opportunities, cosmopolitan appeal, high rental yields for both residential and commercial properties, and infrastructure development, which have transformed micro-markets into urban centers.
Frequently Asked Questions
What is driving the growth in Bengaluru's housing market?
The growth in Bengaluru's housing market is driven by genuine end-user demand, a thriving IT and startup ecosystem, and a combination of economic, social, and lifestyle factors.
How much are housing sales expected to rise in Bengaluru in Q3 2025?
Housing sales in Bengaluru are expected to rise by 21% in the July-September quarter of 2025.
What factors contribute to the high demand for housing in Bengaluru?
Key factors include the city's position as an IT and corporate hub, employment opportunities, cosmopolitan appeal, and infrastructure development.
How did the housing market in Bengaluru perform during the COVID pandemic year 2020?
During the COVID pandemic year 2020, housing sales in Bengaluru stood at 34,480 units, but the demand revived in subsequent years due to pent-up demand.
What is the projected total housing sales across India's top 9 cities in Q3 2025?
The total housing sales across India's top 9 cities are estimated to fall 4 per cent to 1,00,370 units during the July-September 2025 period.
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