Rental Index AMJ 2023

COVER PAGE TO BE
FINALISED
FOREWORD
Executive Summary
As the last year progressed, there was a noticeable rise in the
demand for rental housing in several prominent Indian cities.
This trend was primarily fueled by two key groups: employees
and students.
Key drivers of the rental surge in India over the last two quarters
have been increased urbanization and rising occupancy rates of
commercial complexes (owing to employees returning to
offices).
India’s unemployment rate has been declining since 2020, has reduced to 7.33% (as of
2022), a 2.9% decline from 2020. This indicates the positive employment outlook of
India and further drives rental growth.
Similarly, educational institutions also began to resume in-person classes and activities,
prompting students to return to the cities where their colleges and universities were
situated.
At the same time, as property values surged, many homeowners saw an opportunity to
realize substantial returns on their real estate investments by selling their properties
instead of renting, which reduced available supply in the market. In this scenario, the
decreased availability of rental properties, coupled with the influx of people seeking
rental housing, caused a notable increase in rents across the prominent Indian cities.
Moreover, structured rental alternatives such as coliving spaces and paying guest (PG)
accommodations, which had experienced setbacks during the Covid-19 pandemic,
exhibited notable signs of resurgence with a significant rise in occupancy rates. It
remains intriguing to observe the evolving dynamics of demand and supply in the
forthcoming months
For a more comprehensive view of the Indian residential rental market, we present the
latest edition of our quarterly report – Rental Index Apr – Jun 2023, to help landlords
and tenants stay abreast with key trends in the major rental markets. Hope you enjoy
reading this report and please do share your feedback with our Research team.
Best wishes,
Sudhir Pai
CEO
2
INDIA OVERVIEW
Executive Summary
Quarterly Market Dynamics
18.1% 4.9%
in Demand in Average Rent
9.6%
in Supply
Note: The green colour signifies a positive change or growth in market trend.
The entire report has same colour coding, in addition to red being used to denote negative change or decline in trends.
Most metro cities in India have become a landlord's market as India's salaried class is now
back to offices after a prolonged work-from-home setup. The average rent across these 13
cities increased 4.9% QoQ, reiterating the underlying factors like reduced supply, rapid
urbanization, and changing lifestyle requirements of the young working population.
Housing construction came to a standstill during COVID-19, and of the ones built, many
remain unsold. There has been an influx of expats and global executives back to India post-
pandemic, further driving up rental prices of apartments. Demand for luxury apartments
have been on the rise especially in Bengaluru and Mumbai owing to changing tenant
preferences towards large luxurious apartments.
Interest rates have been rising over the last one year making borrowing an expensive
proposition for the home buyers. Hence, for students and office goers looking for temporary
accommodation and with a constrained budget threshold, renting could be a prudent
decision.
Bengaluru leads the pack with quarterly average rents rising by 8.1%, followed by Navi
Mumbai at 7.3%, Gurugram at 5.1%, and Hyderabad at 4.5%.
On the demand side, all cities except Pune have witnessed a double-digit Q-o-Q growth with
NCR (27.25%), MMR (18.35%), Pune (19.3%), Hyderabad (22%) and Bengaluru (12.8%) being
the top 5 cities with a demand spike.
Affordability considerations have led to tenants preferring smaller and more compact
apartments. The demand for 1 & 2 BHK units accounts for 80% of total rental searches in the
quarter. Similarly, apartment sizes ranging from 0 - 1500 sq ft account for 88% of total rental
demand.
3
India’s Rental Market At a Glance
City Demand Supply Rent
Ahmedabad 32.2% 30.1% 0.0%

Bengaluru 12.8% 23.3% 8.1%
Chennai 17.9% -3.0% 1.2%
Delhi 18.9% 11.8% -0.9%
Greater Noida 41.2% 16.1% 3.8%
Gurugram 21.9% -8.9% 5.1%
Hyderabad 22.0% -2.1% 4.5%
Kolkata 14.8% 7.0% 2.1%
Mumbai 14.9% 7.7% -0.1%
Navi Mumbai 21.8% 6.2% 7.3%
Noida 27.0% 3.4% 1.9%

Pune 19.3% 5.3% 3.7%
Thane 9.7% -2.4% 1.3%
Demand: Change in volume of rental property searches

Supply: Change in volume of active rental listings
Rent: QoQ change in the average rent of furnished, semi-furnished and unfurnished properties
The green colour signifies a positive change or growth whereas red denotes negative change or decline in trends
Change in QoQ Average Rents by Furnishing

25
20
15
10
-5
Furnished Semi-furnished Unfurnished

Note: The above graph represents the average rents for furnished, semi furnished and unfurnished properties on the Magicbricks website in Q2
2023 for cities covered in this report.
4
Ahmedabad Apr - Jun 2023
Market Dynamics Key Trends
Parameters QoQ Change • During Q2 of 2023, Ahmedabad's rental housing market
demonstrated a favourable performance. The city experienced a
Demand 32.2% QoQ increase of 32.2% in demand (searches) and 30.1% in supply
Supply 30.1% (active listings). Meanwhile, the average rents remained stable.
Rent 0.0% • South Bopal and Shela are the most searched micro-markets.
Demand: change in volume of property searches
Excellent connectivity to major employment hubs as well as social
Supply: change in volume of active listings and retail infrastructure consolidated their position at the top.
Rent: change in the average rent of furnished,
semi-furnished, and unfurnished properties • The average monthly rent for a 2 BHK apartment in highly
preferred localities spans from INR 13,000 to 17,000, while the
corresponding range for 3 BHKs is INR 19,000 to 24,000 per
month.
Consumer Preference by BHK Supply by BHK
6% 12% 6% 11%
1 BHK 1 BHK
30% 2 BHK 35% 2 BHK
3 BHK 3 BHK
52% 49%
> 3 BHK > 3 BHK
Notes:
1. Demand represents property searches on the Magicbricks website during Q2 2023, segregated by Bedroom, Hall, Kitchen (BHK) configurations.
2. Supply represents active listings on the Magicbricks website during Q2 2023, segregated by BHK configurations.
2 & 3 BHKs dominate the rental market

• With a significant 52% demand, 2 BHKs emerge as the favoured choice among tenants, trailed by 3 BHK
housing units, constituting 30%.
• Approximately 47% of tenants in Ahmedabad are in search of properties ranging from 1,000 to 1,500 sf,
while the available supply for such properties stands at approximately 43%.
• In Ahmedabad, tenants prefer affordable rents (INR 10,000-20,000 per month), accounting for 58%. This
was backed by 55% supply share.
Rent INR per month
Demand 9% 58% 21% 6% 3% 4%

<10,000 10,000-20,000 20,000-30,000
30,000-40,000 40,000-50,000 50,000-1,00,000
1%
Supply 11% 55% 23% 6% 3%
<10,000 10,000-20,000 20,000-30,000

30,000-40,000 40,000-50,000 50,000-1,00,000
Size in sf
Demand 2% 23% 47% 20% 5% 3%
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
Supply 2% 24% 43% 20% 7% 4%

5
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
Ahmedabad Apr - Jun 2023
Note: Map is not to scale.
No. Locality 2 BHK Rent 3 BHK Rent 3 Months Outlook

1 South Bopal 14,000 20,000
2 Shela 13,000 19,000
3 Prahlad Nagar 17,000 24,000

Demand
4 SG Highway 13,000 19,000
5 Chandkheda 10,000 14,000
6 Satellite 15,000 22,000 Supply

7 S.P. Ring Road 13,000 19,000
8 Bopal 14,000 20,000
9 Thaltej 17,000 24,000 Rent

10 Gota 12,000 17,000
11 Navrangpura 15,000 22,000

Note: Average rents in top searched localities are for
unfurnished 2BHK (900 sf) and 3BHK (1,300 sf) in INR
12 Vastrapur 19,000 27,000 per month
6
Bengaluru Apr - Jun 2023
Parameters QoQ Change • In Bengaluru, the rental market experienced a notable QoQ surge,
with demand (searches) increasing by 12.8% and availability
Demand 12.8% (listings) rising by 23.3%. Additionally, average rents recorded a
Supply 23.3% significant QoQ hike of 8.1%, the highest among the top 13 cities.
Rent 8.1% • Whitefield, Sarjapur Road, and Marathahalli in east Bengaluru
continue to remain the most searched rental micro-markets.
Supply: change in volume of active listings
Rent: change in the average rent of furnished, • In the most preferred localities, the average monthly rent for 2
semi-furnished, and unfurnished properties BHK units falls within the range of INR 21,000 to 23,000, while for
3 BHK units, it ranges between INR 30,000 to 33,000 per month.

1% 2%
18% 17%
1 BHK 23% 19% 1 BHK
2 BHK 2 BHK
3 BHK 3 BHK
64% > 3 BHK 56% > 3 BHK
Notes:
Semi-furnished 2 BHKs most preferred by tenants

• 2 BHKs dominate the rental housing market demand in Bengaluru, with 64% of tenants opting for them. The
same trend can be seen on the availability front as well, as 2 BHKs dominate the market with 56% share.
• Tenants here clearly prefer semi-furnished apartments, which was visible in their 41% share in demand. At
the same time, the supply for these properties accounted for almost 61%.
• Most tenants are looking for budget-friendly properties within a rental range of INR 10,000 – 20,000 per
month as evident from the 51% demand share of these properties.
Rent INR per month
Demand 8% 51% 22% 10% 5% 2%

<10,000 10,000-20,000 20,000-30,000
30,000-40,000 40,000-50,000 50,000-1,00,000
Supply 19% 42% 22% 10% 4% 3%
<10,000 10,000-20,000 20,000-30,000

30,000-40,000 40,000-50,000 50,000-1,00,000
Size 1% in sf
Demand 2% 26% 58% 11% 2%
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
Supply 8% 39% 37% 11% 3%2%

7
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
Bengaluru Apr - Jun 2023

1 whitefield 23,000 33,000
2 Sarjapur Road 22,000 32,000
3 Marathahalli 21,000 30,000 Demand

4 HSR Layout 21,000 31,000
5 Koramangala 29,000 42,000
6 Hebbal 22,000 32,000 Supply

7 Kanakapura Road 19,000 28,000
8 Electronic City 15,000 22,000

Bannerghatta Main
9 17,000 24,000 Rent
Road
10 Indiranagar 29,000 42,000
11 JP Nagar 18,000 25,000

12 Malleshwaram 22,000 31,000 per month
8
Chennai Apr - Jun 2023
Parameters QoQ Change • In Q2 2023, Chennai observed a QoQ increase of 17.9% in
demand (searches). However, the supply (active listings) declined
Demand 17.9% by 3% QoQ. The average rent aggregate observed a growth of
Supply -3.0% 1.2% QoQ.
Rent 1.2% • The localities of Thiruvanmiyur and Thoraipakkam were the most
searched micro-markets in the city because of their seamless
Supply: change in volume of active listings connectivity and proximity to prominent IT corridors such as ECR
Rent: change in the average rent of furnished, & OMR.
semi-furnished, and unfurnished properties
• The average monthly rent across most preferred localities for 2
BHK units was between INR 19,000 to 33,000, while for 3 BHK
units, it was between INR 27,000 and 40,000 per month.
1% 2%
22% 11% 1 BHK
17% 18%
1 BHK
2 BHK 2 BHK
3 BHK 3 BHK
66% 63%
> 3 BHK > 3 BHK
Notes:
Semi-furnished 2 BHKs most-preferred in Chennai

• Tenants in Chennai showed a strong preference for semi-furnished 2 BHK units, which accounted for 66% of
the market share, which was also the highest 2 BHK preference in any city. Demand for 3 BHKs was next
with 22% share and 1 BHKs with 11% share. However, in the supply listings, 1 BHKs (18%) overtook 3 BHKs
(17%) by 1%.
• Properties sized between 500-1,000 sf recorded maximum demand and supply, with 49% and 59% share
respectively, indicating a higher preference for compact units.
• In terms of budget, properties commanding INR 10,000-20,000 per month saw interest from 51% of
tenants, followed by properties quoting INR 20,000-30,000 per month (21%).
Rent INR per month
Demand 17% 51% 21% 7% 3% 1%

<10,000 10,000-20,000 20,000-30,000
30,000-40,000 40,000-50,000 50,000-1,00,000
1%
Supply 26% 55% 14% 4% 1%
<10,000 10,000-20,000 20,000-30,000

30,000-40,000 40,000-50,000 50,000-1,00,000
Size in sf
Demand 4% 49% 35% 10% 2%
Below 500 500-1,000 1,000-1,500 1,500-2,000 Above 2,000
Supply 7% 59% 25% 6% 3%

9
Below 500 500-1,000 1,000-1,500 1,500-2,000 Above 2,000
Chennai Apr - Jun 2023

1 Thiruvanmiyur 22,000 31,000
2 Thoraipakkam 19,000 27,000
3 Alwarpet 33,000 47,000

Demand
4 Sholinganallur 18,000 26,000
5 Adyar 26,000 38,000
6 Perungudi 18,000 26,000 Supply

7 Anna Nagar 24,000 34,000
8 Velachery 16,000 23,000

Raja Annamalai
9 25,000 36,000 Rent
Puram
10 T Nagar 23,000 34,000
11 Kotturpuram 44,000 64,000 Note: Average rents in top searched localities are for
per month
12 Iyyappanthangal 44,000 64,000 10
Delhi Apr - Jun 2023
Parameters QoQ Change • In Q2 2023, Delhi observed a QoQ growth of 18.9% in demand
(searches). The supply (active listings) also observed a QoQ
Demand 18.9% increase of 11.8%. However, the average rent aggregate declined
Supply 11.8% by 0.9% QoQ.
Rent -0.9% • Premium and luxury localities such as Saket and Greater Kailash
were the most searched micro-markets in the city, possibly due to
Supply: change in volume of active listings their central location in NCR, and comparatively safer
Rent: change in the average rent of furnished, neighborhoods.
BHK units ranges between INR 20,000 to 37,000, while for 3 BHK
units, it is between INR 28,000 to 54,000.
2% 3%
25% 25% 1 BHK 23% 22% 1 BHK
2 BHK 2 BHK
3 BHK 3 BHK
48% 52%
> 3 BHK > 3 BHK
Notes:
Compact semi-furnished 2 BHKs see preference among tenants

• Tenants in Delhi showed a strong preference for semi-furnished 2 BHK units, which accounted for 48% of
the demand market share, while 3 BHKs & 1 BHKs had 25% each. However, in the supply listings, 3 BHKs
(23%) overtook 1 BHKs (22%) by a marginal difference of 1%.
• Properties sized between 500-1,000 sf recorded maximum demand and supply with 52% and 55% share
respectively, indicating a higher preference for compact units.
• In terms of budget, affordability is the key demand driver for the rental market, as properties commanding
less than INR 20,000 rent per month were popular amongst 67% of tenants.
Rent INR per month
Demand 20% 47% 19% 6% 5% 2%
<10,000 10,000-20,000 20,000-30,000 30,000-40,000 40,000-50,000 >50,000
Supply 21% 45% 18% 7% 5% 4%
<10,000 10,000-20,000 20,000-30,000 30,000-40,000 40,000-50,000 >50,000
Size in sf
Demand 19% 52% 21% 6% 1%
Below 500 500-1,000 1,000-1,500 1,500-2,000 Above 2,000
Supply 19% 55% 18% 5% 3%

11
Below 500 500-1,000 1,000-1,500 1,500-2,000 Above 2,000
Delhi Apr - Jun 2023

1 Saket 20,000 29,000
2 Greater Kailash 1 37,000 54,000

Freedom Fighters Demand
3 20,000 28,000
Enclave
4 Vasant Kunj 28,000 40,000
5 Greater Kailash 2 36,000 52,000

Supply
6 Laxmi Nagar 18,000 26,000
7 Paschim Vihar 20,000 29,000
8 Patel Nagar West 25,000 36,000
9 Mayur Vihar 1 22,000 32,000 Rent

10 Chittaranjan Park 29,000 42,000
11 Defence Colony 54,000 78,000 Note: Average rents in top searched localities are for
per month
12 Dwarka 17,000 25,000 12
Greater Noida Apr - Jun 2023
Parameters QoQ Change • During Q2 2023, Greater Noida registered a notable growth in
rental demand (searches) of 41.2% QoQ, while availability
Demand 41.2% (listings) of rental properties increased by 16.1% QoQ. The
Supply 16.1% average rent for residential properties rose by 3.8% in Q2 2023,
following a 2.7% growth in Q1 2023.
Rent 3.8%

• Greater Noida West was the most-searched locality for rental
Supply: change in volume of active listings properties. Main reasons include proximity to Noida and
Rent: change in the average rent of furnished, availability of several affordable rental.
• The average monthly rent for 2 BHK units ranges from INR 9,000
to 14,000, while for 3 BHK units it is INR 13,000 to 20,000 per
month.
11% 13% 2% 9%
1 BHK 1 BHK
27% 2 BHK 2 BHK
44% 45%
3 BHK 3 BHK
49%
> 3 BHK > 3 BHK
Notes:
Affordable 2 and 3 BHKs most in-demand units for rent

• More than 75% of the rental demand was attributed to 2 & 3 BHK configurations together.
• 44% of tenants were seeking rental properties in the range of INR 10,000-20,000 per month, followed by
properties less than INR 10,000 per month, which accounted for 42% share in demand.
• Around 38% of tenants searched for units in the size range of 500-1,000 sf, while 34% preferred homes with
an area of 1,000-1,500 sf.
Rent INR per month
Demand 42% 44% 14%
<10,000 10,000-20,000 >20,000
Supply 21% 65% 13%
<10,000 10,000-20,000 >20,000
Size in sf
Demand 34% 38% 25% 3%
Below 1,000 1,000-1,500 1,500-2,000 Above 2,000
Supply 1% 17% 53% 24% 5%
Below 500 500-1,000 1,000-1,500 1,500-2,000 Above 2,000 13

Greater Noida Apr - Jun 2023

1 Greater Noida West 11,000 15,000
2 Noida Extension 10,000 15,000
3 Zeta 1 9,000 14,000

Demand
4 Eta 2 12,000 17,000
5 Chi 5 12,000 17,000
6 Pari Chowk 10,000 14,000 Supply

7 Phi 2 10,000 14,000
8 Alpha 2 10,000 14,000
9 Surajpur 14,000 20,000 Rent

10 Omega 2 9,000 13,000
11 Beta 1 9,000 13,000

12 Gamma 2 10,000 15,000 per month
14
Gurugram Apr - Jun 2023
Parameters QoQ Change • In Q2 2023, the residential rental demand (searches) in
Gurugram recorded a QoQ rise of 21.9% while the average rents
Demand 21.9% appreciated by 5.1% QoQ. However, the availability (listings) of
Supply -8.9% rental properties declined by 8.9% QoQ.
Rent 5.1% • Sectors 49, 56 and 57 were the most in-demand due to their
affordability and good infrastructure.
Rent: change in the average rent of furnished, • The average monthly rent across most preferred localities for 2
semi-furnished, and unfurnished properties BHK units ranges between INR 17,000 to 26,000, while for 3 BHK
units, it is between INR 25,000 to 37,000 per month.

1%
10%
22% 1 BHK 20% 1 BHK
37% 2 BHK 2 BHK
30%
3 BHK 3 BHK
40% 40%
> 3 BHK > 3 BHK
Notes:
2 BHKs gain prominence in rental demand

• With a demand share of 40%, 2 BHK became the most favoured configuration in Q2 2023, closely followed
by 1 BHKs at 37%.
• 41% of the tenants preferred rental units in the range of INR 10,000-20,000 per month, backed by the
supply of around 36%.
• Properties ranging between 500-1,000 sf accounted for nearly 49% of the total rental searches in Gurugram.
Rent INR per month
Demand 22% 41% 23% 5% 3% 7%
<10,000 10,000-20,000 20,000-30,000 30,000-40,000 40,000-50,000 >50,000
Supply 14% 36% 20% 9% 7% 14%
<10,000 10,000-20,000 20,000-30,000 30,000-40,000 40,000-50,000 >50,000
Size in sf
Demand 3% 49% 27% 13% 6% 2%
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
Supply 4% 38% 21% 17% 12% 8%

Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500 15
Gurugram Apr - Jun 2023

1 Sector 49 21,000 31,000
2 Sector 66 26,000 37,000
3 Sector 56 17,000 25,000

Demand
4 Sector 57 19,000 27,000
5 Sector 43 24,000 35,000
6 Sector 48 28,000 40,000 Supply

7 Palam Vihar 15,000 21,000
8 Sector 54 50,000 72,000
9 DLF City Phase 2 25,000 36,000 Rent

10 Sector 23 15,000 22,000
11 Sector 55 19,000 28,000

12 Sector 65 31,000 45,000 per month
16
Hyderabad Apr - Jun 2023
Parameters QoQ Change • In Q2 2023, Hyderabad observed a QoQ increase of 22% in
demand (searches). However, the supply (active listings) declined
Demand 22.0% by 2.1% QoQ. At the same time, the average rent observed a
Supply -2.1% growth of 4.5% QoQ.
Rent 4.5% • Premium localities such as Gachibowli and Kondapur continue to
be the most searched micro-markets in the city because of their
Supply: change in volume of active listings seamless connectivity with the Nehru ORR and proximity to key
Rent: change in the average rent of furnished, employment hubs.
units, it is between INR 30,000 to 45,000 per month.
2% 4%
20% 23% 13%
1 BHK 25% 1 BHK
2 BHK 2 BHK
3 BHK 3 BHK
55% 58%
> 3 BHK > 3 BHK
Notes:
Tenants prefer furnished mid-sized 2 BHKs units

• Tenants in Hyderabad showed a strong preference for furnished 2 BHK units, which accounted for 55% of
the market share, followed by 1BHK and 3BHK units which commanded a share of 23% and 20%
respectively. On the supply (active listings) front, 3 BHKs (25%) overtook 1 BHKs (13%).
• Properties sized 1,000-1,500 sf recorded maximum demand and supply with 50% and 39% share
respectively, indicating a higher preference for mid-sized homes.
• In terms of budget, properties ranging between INR 10,000-20,000 per month saw interest from about 55%
of tenants, followed by properties quoting INR 20,000-30,000 per month (19%).
Rent INR per month
Demand 7% 55% 19% 12% 5% 4%
<10,000 10,000-20,000 20,000-30,000 30,000-40,000 40,000-50,000 >50,000
Supply 25% 45% 16% 8% 3%4%
<10,000 10,000-20,000 20,000-30,000 30,000-40,000 40,000-50,000 >50,000
Size in sf
Demand 1% 30% 50% 12% 3%3%
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
Supply 4% 34% 39% 14% 5% 4%

17
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
Hyderabad Apr - Jun 2023

1 Gachibowli 24,000 35,000
2 Kondapur 21,000 30,000
3 Hitech City 32,000 47,000

Demand
4 Madhapur 21,000 30,000
5 Kokapet 23,000 33,000
6 Narsingi 22,000 32,000 Supply

7 Kukatpally 16,000 23,000
8 Banjara Hills 20,000 30,000
9 Nallagandla 21,000 30,000 Rent

10 Jubilee Hills 23,000 33,000
11 Manikonda 17,000 24,000

12 Nalagandla 23,000 34,000 per month
18
Kolkata Apr - Jun 2023
• In Q2 2023, the rental housing market in Kolkata observed an
Parameters QoQ Change
increase in demand (searches) of 14.8% QoQ and in availability
Demand 14.8% (listings) of 7% QoQ. The average rent also observed a QoQ hike
Supply 7.0% of 2.1%.
Rent 2.1% • New Town continues to be the most sought-after rental micro
market, primarily due to its proximity to key employment hubs,
Supply: change in volume of active listings excellent connectivity, reliable infrastructure, and abundance of
Rent: change in the average rent of furnished, affordable rental properties.
• For the most preferred localities, the average monthly rent for 2
BHK units varies from INR 14,000 to 18,000, while for 3 BHK units,
it ranges between INR 21,000 to 26,000.
2% 2%
12% 9%
27% 1 BHK 1 BHK
29%
2 BHK 2 BHK
3 BHK 3 BHK
59% 60%
> 3 BHK > 3 BHK
Notes:
2 BHKs continue to dominate Kolkata’s rental housing market

• With 59% demand and 60% supply share, 2 BHK remains the most preferred configuration by tenants.
• The city recorded the highest demand for properties sized 500-1,000 sf. In terms of budget, properties
commanding monthly rentals of INR 10,000-20,000 were in dominance.
• In Kolkata, tenants prefer affordable rents (INR 10,000-20,000 per month), accounting for 51% demand. This
was backed by 53% supply share.
Rent INR per month

1%
Demand 32% 51% 12% 3%
1%
<10,000 10,000-20,000 20,000-30,000
30,000-40,000 40,000-50,000 50,000-1,00,000
1%
Supply 28% 53% 14% 4%
1%
<10,000 10,000-20,000 20,000-30,000
30,000-40,000 40,000-50,000 50,000-1,00,000
Size
1% in sf
Demand 5% 60% 30% 2%
1%
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
1%
Supply 5% 56% 32% 5%
1%
19
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
Kolkata Apr - Jun 2023

1 New Town 18,000 26,000
2 Dum Dum 11,000 16,000
3 Rajarhat 14,000 21,000 Demand

4 Action Area III 18,000 26,000
Eastern Metropolitan
5 22,000 32,000
Bypass
Prince Anwar Shah Supply
6 29,000 42,000
Road
7 Action Area I 18,000 25,000
8 Salt Lake City 19,000 27,000
9 Jadavpur 19,000 27,000 Rent

10 Ballygunge 30,000 44,000
11 Southern Avenue 26,000 38,000

12 Tollygunge 17,000 25,000 per month
20
Mumbai Apr - Jun 2023
Parameters QoQ Change • In Q2 2023, Mumbai’s QoQ rental demand (searches) and
availability (listings) spiked by 14.9% and 7.7% respectively. At the
Demand 14.9% same time, the average rental rate observed a QoQ dip of 0.1%.
Supply 7.7%
• Andheri East and Andheri West are amongst the most favoured
Rent -0.1% localities by tenants in Mumbai, owing to the metro connectivity
and proximity to key employment hubs.
Rent: change in the average rent of furnished, • In the most preferred localities, the average monthly rent for a 2
semi-furnished, and unfurnished properties BHK apartment varies between INR 51,000 and 63,000, while the
corresponding range for 3 BHKs is INR 73,000 to 91,000 per
month.

2% 1%
6% 11%
1 BHK 1 BHK
2 BHK 2 BHK
40% 52% 41% 47%
3 BHK 3 BHK
> 3 BHK > 3 BHK
Notes:
Tenants favour small sized apartments

• Within Mumbai, the highest demand and availability of rental homes falls within rents of INR 20,000 to
30,000, constituting 32% and 23% respectively.
• There is a clear preference for smaller unit sizes (500-1,000 sf) among the tenants, as these have a share of
60% in demand.
• The demand share of approximately 40% indicates that tenants in Mumbai preferred unfurnished rental
units.
Rent INR per month
Demand 17% 32% 30% 13% 15% 4%

10,000-20,000 20,000-30,000 30,000-40,000
40,000-50,000 50,000-1,00,000 >1,00,000
Supply 20% 23% 18% 10% 19% 9%
10,000-20,000 20,000-30,000 30,000-40,000

40,000-50,000 50,000-1,00,000 >1,00,000
Size
1% in sf
Demand 22% 60% 15% 2%
2%
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
1%
Supply 18% 59% 17% 4%
1%
21
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
Mumbai Apr - Jun 2023

1 Andheri West 63,000 91,000
2 Andheri East 51,000 73,000
3 Worli 1,12,000 1,61,000 Demand

4 Goregaon East 51,000 74,000
5 Kanjurmarg East 40,000 58,000
6 Malad West 44,000 63,000 Supply

7 Powai 55,000 79,000
8 Kandivali West 36,000 53,000
9 Bandra West 94,000 1,35,000 Rent

10 Chandivali 49,000 71,000
11 Santacruz West 82,000 1,18,000

12 Mira Road 22,000 32,000 per month
22
Navi Mumbai Apr - Jun 2023
Parameters QoQ Change • During Q2 2023, Navi Mumbai's rental market showed a
significant increase of 21.8% QoQ in demand (searches) and a
Demand 21.8% 6.2% rise in availability (listings). The average rentals experienced
Supply 6.2% a hike of 7.3% QoQ, making it the second-highest increase.
Rent 7.3% • Kharghar, Kopar Khairane, and Panvel remained the most-
searched localities in Q2 2023 due to their proximity to Central
Supply: change in volume of active listings Business District (CBD) – Belapur.
semi-furnished, and unfurnished properties • Within the most favored localities, the average monthly rent for a
2 BHK apartment falls in the range of INR 20,000 to 26,000, while
the corresponding range for 3 BHKs is INR 29,000 to 37,000 per
month.
1% 2%
10% 12%
1 BHK 1 BHK
41% 38%
2 BHK 2 BHK
48% 3 BHK 3 BHK
48%
> 3 BHK > 3 BHK
Notes:
Affordable 1 & 2 BHK units are more popular

• The demand and supply for 2 BHKs accounted for 48% each, with 1 BHKs following closely at 41% demand
and 38% supply.
• In Navi Mumbai, tenants show a preference for units with lower rents (INR 10,000-20,000), accounting for a
50% share in demand. The market share for such properties is 41% of total supply.
• Regarding unit sizes, properties ranging from 500-1,000 sf commanded a demand share of 51%, while the
supply constituted 54%.
• The demand and availability for unfurnished units was maximum, accounting for 61% and 48% respectively.
Rent INR per month
Demand 16% 50% 19% 8% 4% 4%

<10,000 10,000-20,000 20,000-30,000
30,000-40,000 40,000-50,000 50,000-1,00,000
Supply 18% 41% 22% 12% 3% 5%
<10,000 10,000-20,000 20,000-30,000

30,000-40,000 40,000-50,000 50,000-1,00,000
Size
1% in sf
Demand 10% 51% 33% 4%
1%
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
2%
Supply 8% 54% 30% 6%
1%
23
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
Navi Mumbai Apr - Jun 2023

1 Kopar Khairane 26,000 37,000
2 Kharghar 20,000 29,000
3 Panvel 13,000 19,000 Demand

4 Kamothe 14,000 20,000
5 Seawoods 31,000 45,000
6 New Panvel 14,000 20,000 Supply

7 Ghansoli 24,000 35,000
8 Airoli 27,000 40,000
9 Nerul 30,000 44,000 Rent

10 New Panvel East 15,000 22,000
11 Vashi 30,000 43,000

12 Ulwe 11,000 16,000 per month
24
Noida Apr - Jun 2023
Parameters QoQ Change • In Q2 2023, demand (searches) in Noida increased 27% QoQ. The
supply (active listings) also observed a QoQ increase of 3.4%.
Demand 27.0% Further, the average rents also observed a growth of 1.9% QoQ.
Supply 3.4%
• Affordable localities such as Sector 137, 76, and Noida Extension
Rent 1.9% were the most searched micro-markets in the city due to their
ease of connectivity and affordable dwelling options.
Rent: change in the average rent of furnished, • The average monthly rent across most preferred localities for 2
semi-furnished, and unfurnished properties BHK units ranges between INR 11,000 and 18,000, while for 3
BHK units, it is between INR 16,000 and 26,000 per month.

6% 1% 5%
11% 1 BHK 1 BHK
23%
2 BHK 43% 2 BHK
82% 3 BHK 3 BHK
> 3 BHK 30% > 3 BHK
Notes:
Affordable, furnished 1 BHK units are most-searched

• Tenants in Noida showed a strong preference for furnished 1 BHK units, which accounted for more than
80% of the demand market share, while 2 BHKs followed with 11% share of the total demand. However, in
the supply listings, only 43% market share was inclined towards 1 BHKs, indicating demand-supply mismatch
• Properties sized below 1,000 sf recorded maximum demand with 86% of the market share, indicating a
higher preference for compact units. This is further supported by 82% tenants preferring 1 BHKs over other
configurations.
• In terms of budget, affordability is the key market driver, as properties with less than INR 10,000 rent per
month observed demand from 72% of tenants.
Rent INR per month
Demand 72% 20% 6% 1% 1%
<10,000 10,000-20,000 20,000-30,000 30,000-40,000 >40,000
Supply 35% 33% 20% 7% 3% 2%
<10,000 10,000-20,000 20,000-30,000 30,000-40,000 40,000-50,000 >50,000
Size in sf
Demand 1% 85% 10% 2% 2%
Below 500 500-1,000 1,000-1,500 1,500-2,000 Above 2,000
Supply 3% 50% 30% 9% 4% 4%
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500 25

Noida Apr - Jun 2023

1 Sector 137 18,000 26,000
2 Sector 76 14,000 21,000
3 Noida Extension 11,000 16,000

Demand
4 Sector 62 13,000 19,000
5 Sector 78 19,000 27,000
6 Sector 75 15,000 22,000 Supply

7 Sector 46 15,000 21,000
8 Sector 50 15,000 22,000
9 Sector 150 14,000 21,000 Rent

10 Sector 74 16,000 23,000
11 Sector 134 13,000 18,000

12 Sector 93A 18,000 26,000 per month
26
Pune Apr - Jun 2023
Parameters QoQ Change • The demand (searches) and availability (listings) in Pune increased
by 19.3% QoQ and 5.3% QoQ respectively. The average rent also
Demand 19.3% observed an increase of 3.7% QoQ.
Supply 5.3%
• Wakad and Kharadi remained the preferred localities due to
Rent 3.7% adequate availability of rental housing options, proximity to key
educational institutes and IT Parks, along with improved social
Supply: change in volume of active listings infrastructure.
semi-furnished, and unfurnished properties • The average monthly rent across most preferred localities for 2
units, it is between INR 26,000 to 36,000.

1% 1%
8% 8%
1 BHK 1 BHK
2 BHK 42% 2 BHK
40% 51% 48%
3 BHK 3 BHK
> 3 BHK > 3 BHK
Notes:
High demand for smaller unfurnished units

• 1 and 2 BHKs hold a dominant position in Pune’s rental housing market. Demand for 1 BHKs accounted for
51% and supply constituted 42%, while for 2 BHKs, the demand share was 40% and the supply share stood
at 48%.
• Properties ranging between 500-1,000 sf recorded a demand and supply share of 71% and 67% respectively.
• 50% of tenants searched for unfurnished rental units, against 41% of supply share.
Rent INR per month

1%
Demand 21% 54% 18% 5%
1%
<10,000 10,000-20,000 20,000-30,000
30,000-40,000 40,000-50,000 50,000-1,00,000
1%
Supply 30% 49% 14% 4%
1%
<10,000 10,000-20,000 20,000-30,000
30,000-40,000 40,000-50,000 50,000-1,00,000
Size
1% in sf
Demand 3% 71% 22% 2%
1%
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
1%
Supply 11% 67% 18% 3%
1%
27
Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500
Pune Apr - Jun 2023

1 Kharadi 25,000 36,000
2 Wakad 18,000 26,000
3 Kalyani Nagar 31,000 44,000 Demand

4 Baner 20,000 29,000
5 Hinjewadi 19,000 28,000
6 Viman Nagar 28,000 41,000 Supply

7 Wagholi 14,000 20,000
8 Koregaon Park 33,000 47,000
9 Aundh 22,000 32,000 Rent

10 Hadapsar 20,000 28,000
11 Kothrud 22,000 31,000

12 Bibwewadi 18,000 26,000 per month
28
Thane Apr - Jun 2023
Parameters QoQ Change • Thane’s rental demand (searches) and rent aggregate increased
by 9.7% QoQ and 1.3% QoQ respectively. Further, availability
Demand 9.7% (listings) observed a decline of 2.4% QoQ in Q2 2023.
Supply -2.4%
• Ghodbunder Road and Thane West continue to be the preferred
Rent 1.3% localities, due to good connectivity and availability of affordable
options.
Rent: change in the average rent of furnished, • The average rental for a 2 BHK unit in top localities of Thane are
semi-furnished, and unfurnished properties within the range of INR 19,000 to 26,000 per month, while for 3
BHKs, it varies from INR 28,000 to 36,000 per month.

1% 1%
4% 6%
1 BHK 1 BHK
43% 2 BHK 2 BHK
52% 45% 48%
3 BHK 3 BHK
> 3 BHK > 3 BHK
Notes:
Unfurnished properties most-preferred in Thane

• In Q2 2023, tenants have shown an inclination towards affordable options. The share in demand and
availability for rents between INR 10,000 and 20,000 is 40% and 48%, respectively.
• Maximum preference was observed for housing units with sizes ranging from 500-1,000 sf, accounting for
74% demand and 70% availability.
• The demand and supply for unfurnished units, accounted for 49% and 45% respectively. This was closely
followed by semi furnished units with a demand of 33% against 43% supply.
Rent INR per month

1%
Demand 21% 40% 23% 15%
1%
<10,000 10,000-20,000 20,000-30,000
30,000-40,000 40,000-50,000 50,000-1,00,000
1%
Supply 21% 48% 18% 10%
1%
<10,000 10,000-20,000 20,000-30,000
30,000-40,000 40,000-50,000 50,000-1,00,000
Size in sf
Demand 6% 74% 18% 1%
Below 500 500-1,000 1,000-1,500 1,500-2,000
Supply 12% 70% 16% 2%

29
Below 500 500-1,000 1,000-1,500 1,500-2,000
Thane Apr - Jun 2023

1 Ghodbunder Road 25,000 36,000
2 Thane West 26,000 38,000
3 Hiranandani Estate 31,000 45,000 Demand

4 Dombivli East 13,000 19,000
5 Kalyan 12,000 18,000
6 Bhayandarpada 19,000 28,000 Supply

7 Balkum village 26,000 38,000
8 Dombivli 12,000 18,000
9 Pokharan Road 32,000 46,000 Rent

10 Majiwada 26,000 38,000
11 Haware City 16,000 23,000

12 Kolshet Road 28,000 41,000 per month
30
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Ahmedabad 32.2% 30.1% 0.0%

Navi Mumbai 21.8% 6.2% 7.3%

Noida 27.0% 3.4% 1.9%

Thane 9.7% -2.4% 1.3%

Demand: Change in volume of rental property searches

Change in QoQ Average Rents by Furnishing

Furnished Semi-furnished Unfurnished

2 & 3 BHKs dominate the rental market

Rent INR per month

Demand 9% 58% 21% 6% 3% 4%

<10,000 10,000-20,000 20,000-30,000

Demand 2% 23% 47% 20% 5% 3%

Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500

Supply 2% 24% 43% 20% 7% 4%

Note: Map is not to scale.

No. Locality 2 BHK Rent 3 BHK Rent 3 Months Outlook

2 Shela 13,000 19,000

3 Prahlad Nagar 17,000 24,000

4 SG Highway 13,000 19,000

5 Chandkheda 10,000 14,000

6 Satellite 15,000 22,000 Supply

8 Bopal 14,000 20,000

9 Thaltej 17,000 24,000 Rent

11 Navrangpura 15,000 22,000

Consumer Preference by BHK Supply by BHK

Semi-furnished 2 BHKs most preferred by tenants

Rent INR per month

Demand 8% 51% 22% 10% 5% 2%

Supply 19% 42% 22% 10% 4% 3%

<10,000 10,000-20,000 20,000-30,000

Below 500 500-1,000 1,000-1,500 1,500-2,000 2,000-2,500 Above 2,500

Supply 8% 39% 37% 11% 3%2%

No. Locality 2 BHK Rent 3 BHK Rent 3 Months Outlook

2 Sarjapur Road 22,000 32,000

3 Marathahalli 21,000 30,000 Demand

5 Koramangala 29,000 42,000

6 Hebbal 22,000 32,000 Supply

8 Electronic City 15,000 22,000

11 JP Nagar 18,000 25,000

Semi-furnished 2 BHKs most-preferred in Chennai

Demand 17% 51% 21% 7% 3% 1%

<10,000 10,000-20,000 20,000-30,000

Demand 4% 49% 35% 10% 2%

Below 500 500-1,000 1,000-1,500 1,500-2,000 Above 2,000

Supply 7% 59% 25% 6% 3%

Note: Map is not to scale.

No. Locality 2 BHK Rent 3 BHK Rent 3 Months Outlook

2 Thoraipakkam 19,000 27,000

3 Alwarpet 33,000 47,000

4 Sholinganallur 18,000 26,000

5 Adyar 26,000 38,000

6 Perungudi 18,000 26,000 Supply

8 Velachery 16,000 23,000

Compact semi-furnished 2 BHKs see preference among tenants

Rent INR per month

Demand 20% 47% 19% 6% 5% 2%

<10,000 10,000-20,000 20,000-30,000 30,000-40,000 40,000-50,000 >50,000

Supply 21% 45% 18% 7% 5% 4%

<10,000 10,000-20,000 20,000-30,000 30,000-40,000 40,000-50,000 >50,000

Demand 19% 52% 21% 6% 1%

Below 500 500-1,000 1,000-1,500 1,500-2,000 Above 2,000

Supply 19% 55% 18% 5% 3%