Bengaluru is ranked fourth among the top 15 global cities list which also features national capital Delhi and Mumbai. However, Bengaluru has emerged as an attractive investment destination, with data showing that the city gives faster and higher returns to investors.
Published: August 20, 2025 10:41 PM IST
Bengaluru Real Estate Prices: IT hub Bengaluru has overtaken other major Indian metro cities like Delhi, Mumbai, Kolkata, Chennai, and Hyderabad on the Prime Global Cities Index (PGCI) for Q2 2025 published by Knight Frank– a London-based real estate consultancy firm– with the Karnataka capital emerging as the hottest investment hub in India.
Why real estate prices have surged in Bengaluru?
Bengaluru is ranked fourth among the top 15 global cities list which also features national capital Delhi and Mumbai. However, Bengaluru has emerged as an attractive investment destination, with data showing that the city gives faster and higher returns to investors.
According to data, the price of prime real estate in Bengaluru have soared by a whopping 10.2% annually– the highest among Indian cities– followed by Mumbai (8.7%), and Delhi (3.9%), which are ranked 6th and 15th on the list, respectively. The primary reason for Bengaluru’s rapid rise is its sturdy IT sector, offering some of the highest-paying tech jobs in the country, which in turn fuels the demand for premium properties in the city.
Why Bengaluru attracts global investors?
As per the PGCI report, Bengaluru, dubbed the ‘Silicon Valley of India’, is home to several Indian and global tech giants as well as scores of tech startups, and this strong tech ecosystem attracts a large number of professionals, leading to a steady rise in the number of people buying and renting premium homes in the city.
Additionally, the expansion of major projects such as the Namma Metro aka the Bengaluru Metro, Outer Ring Road, and the Peripheral Ring Road, have improved connectivity, making travel a breeze while increasing real estate prices as people often prefer to live close to their office where all modern amenities are available at a walking distance.
Further, Bengaluru has a more favorable climate than cities like Delhi and Mumbai, and its modern, cosmopolitan culture makes it an ideal city for young professionals and global investors.
Story Highlights
- Bengaluru is rapidly emerging as the hottest investment hub in India.
- The Karnataka capital is ranked ahead of other major Indian metros, including Delhi and Mumbai.
- Bengaluru’s modern, cosmopolitan culture makes it an ideal city for young professionals.
- Real estate prices in Bengaluru have surged by 10.2% annually.
According to the report by Knight Frank, Bengaluru-based startups raised over $64 billion in funding over the last decade, which accounts for 31% of funding by all startups across India.
