🇮🇳 South Asia 3.2% avg yield

Rental Yield in Bangalore (2026)

Average gross and estimated net rental yields for property investors in Bangalore, India. Updated April 2026.

Avg. Gross Yield
3.2%
per year

Estimated Yield by Property Type

Gross yield calculated from average annual rent ÷ estimated purchase price. Net yield deducts estimated 15–20% for expenses.

Unit Type Avg Monthly Rent Annual Rent Est. Gross Yield Est. Net Yield
1 BHK INR 13,000 INR 156,000 4.0% 3.3%
2 BHK INR 24,000 INR 288,000 3.2% 2.6%
3 BHK INR 42,000 INR 504,000 2.9% 2.4%
4 BHK INR 80,000 INR 960,000 2.6% 2.1%
Villa/Bungalow INR 180,000 INR 2,160,000 2.2% 1.8%

Gross yield estimates use average market purchase prices. Net yield deducts approx. 18% for maintenance, management, and vacancy. Actual returns vary.

Yield by Neighbourhood

Koramangala
Tech Hub
2.7%
1BR avg: INR 35,000/mo
Demand: Very High
Indiranagar
Premium
2.7%
1BR avg: INR 32,000/mo
Demand: Very High
Whitefield
IT Corridor
3.7%
1BR avg: INR 22,000/mo
Demand: High
HSR Layout
Startup Belt
2.7%
1BR avg: INR 28,000/mo
Demand: High
Electronic City
IT Park
3.7%
1BR avg: INR 14,000/mo
Demand: High
Hebbal
North BLR
3.7%
1BR avg: INR 18,000/mo
Demand: Medium
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Bangalore Investment Market Overview

Bangalore is India's technology capital with the fastest-growing rental market. Strong IT/tech sector employment drives massive demand in Whitefield, Outer Ring Road, and Electronic City corridors. Rents have surged since 2022 due to return-to-office mandates.

Investor Insights

  • Security deposit in Bangalore is typically 10 months — the highest in India.
  • Strong demand from Flipkart, Amazon, Infosys, Wipro employee bases.
  • Co-living and managed accommodation is rapidly growing in tech corridors.
  • Rental agreement must be notarised — 11-month agreements are standard to avoid stamp duty.
  • Whitefield and ORR have seen 30%+ rent increases since 2022.

Bangalore Investment Facts

Market 🇮🇳 India
Avg Gross Yield 3.2%
Est. Net Yield ~2.6%
YoY Rent Change +9.5%
1BR Avg Rent INR 24,000/mo
Population 12M
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Rental Yield FAQs — Bangalore

What is a good rental yield in Bangalore?

The average gross yield in Bangalore is 3.2%. A yield above this is considered good. Smaller units (studios, 1BR) typically yield more than larger apartments because purchase prices don't scale proportionally with rent.

What is the difference between gross and net yield?

Gross yield = (annual rent ÷ property price) × 100. It ignores costs. Net yield deducts operating expenses — maintenance, management fees, insurance, and vacancy periods — typically 15–20% of gross rent. In Bangalore, the estimated net yield averages ~2.6%.

Which property type gives the best yield in Bangalore?

Studios and 1-bedroom apartments typically offer the highest gross yields in Bangalore because entry prices are lower relative to rental income. Studios average around 4.0% gross yield, while 3+ bedroom units may yield 2.6% or less.