Why Bollywood Stars Choose Short-Term Rentals in Mumbai
In recent months, several Bollywood celebrities, including Shraddha Kapoor and Urvashi Rautela, have opted for short-term rental apartments in Mumbai. This trend is driven by various factors, including the reluctance of housing societies to host celebriti
BollywoodShortterm RentalsMumbaiPropertyCelebritiesReal Estate MumbaiJan 26, 2025
However, a growing trend among these celebrities is the preference for short-term rentals.
Actors like Shraddha Kapoor and Urvashi Rautela have recently made headlines for their choice of temporary homes in the city.
Why Do They Choose Short-Term Rentals?
Shraddha Kapoor's Move
In October 2024, Shraddha Kapoor rented a spacious 3,900 sq ft apartment in the prestigious Juhu area of Mumbai.
According to property registration documents accessed by Zapkey, she paid an annual rent of ₹72 lakh for a 12-month lease.
This decision was driven by the need for flexibility and the challenges of securing a long-term lease in a city where privacy is a premium.
Urvashi Rautela's Short-Term Stay
Not long after, in December 2024, actor and model Urvashi Rautela followed suit by renting a 3,600 sq ft apartment in the Vile Parle area for a three-month period from January to March 2025.
The property registration documents accessed by IndexTap.com reveal that she paid a significant sum for this short-term stay.
Factors Influencing the Trend
Reluctance of Housing Societies
Ritesh Mehta, Senior Director at JLL India, explains that several housing societies and residential welfare associations in Mumbai are hesitant to take on celebrities.
They often prefer to avoid the limelight and the potential scrutiny that comes with hosting well-known personalities.
As a result, many celebrities opt for short-term rentals to secure a temporary home without the hassle of long-term commitments.
Tax Benefits and Legal Aspects
Aditya Zantye, Partner at AKORD & Co Chartered Accountants, clarifies that individuals can claim house rent allowance (HRA) deductions as long as they reside in the rented apartment.
Whether the lease is short or long-term, the key is to have a valid leave and license agreement to claim tax benefits.
This makes short-term rentals a viable option for those who need a temporary home in Mumbai.
Surging Demand and Higher Costs
Rising Demand
The demand for short-term rentals in Mumbai has seen a significant surge, increasing by 14-15% since 2024.
This uptick is attributed to the limited availability of luxury serviced apartments that offer such leases.
Despite the higher costs, celebrities and others who require temporary housing find these rentals to be a practical solution.
Cost Implications
Short-term rentals come with a premium.
According to Ritesh Mehta, these rentals are at least 10-15% more expensive than their long-term counterparts.
Despite the higher costs, the convenience and flexibility they offer make them an attractive option for many.
Short-Term Rentals in Bengaluru
Popular Among Students and Patients
Sunil Singh, Director of Realty Corps, notes that short-term rentals are also popular in other cities like Bengaluru.
In Bengaluru, students who come for short-term internships and families seeking medical treatment often opt for these rentals.
For instance, while a standard apartment may rent for ₹20,000 per month, short-term rentals can cost between ₹30,000 to ₹35,000 for the same period.
Service apartments in the city charge anywhere from ₹3,000 to ₹15,000 per day, depending on the area and type of accommodation.
Conclusion
The trend of short-term rentals among Bollywood stars in Mumbai is a testament to the changing dynamics of the real estate market.
While the costs may be higher, the flexibility and privacy these rentals offer make them an ideal choice for celebrities and others in need of temporary accommodation.
As the demand continues to grow, it's likely that more such rental options will become available, providing a broader range of choices for those looking to settle in the city temporarily.
Frequently Asked Questions
Why do Bollywood stars prefer short-term rentals in Mumbai?
Bollywood stars often prefer short-term rentals in Mumbai due to the reluctance of housing societies to host them and the flexibility these rentals offer. Short-term rentals provide temporary accommodation without the long-term commitments and potential scrutiny from the public.
How much did Shraddha Kapoor pay for her short-term rental in Juhu?
Shraddha Kapoor paid an annual rent of ₹72 lakh for a 3,900 sq ft apartment in Juhu, Mumbai, for a 12-month lease.
Can individuals claim tax benefits for short-term rentals?
Yes, individuals can claim house rent allowance (HRA) deductions for short-term rentals as long as they have a valid leave and license agreement and reside in the apartment.
How much has the demand for short-term rentals increased in Mumbai?
The demand for short-term rentals in Mumbai has increased by 14-15% since 2024, driven by the limited availability of luxury serviced apartments that offer such leases.
How much more expensive are short-term rentals compared to long-term rentals in Mumbai?
Short-term rentals in Mumbai are typically 10-15% more expensive than long-term rentals, reflecting the premium for flexibility and convenience.
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