What Makes Bangalore India's Leading Realty Market?

Unsurprisingly, Bangalore ranked at tenth position on the list of 2012’s top global investment destinations. Whereas, Delhi and Mumbai dropped down to 15^th and 12^th position in 2012 from third and fifth place in 2011. This list was consolidated and published by Urban Land Institute and PricewaterhouseCoopers. 

Bangalore is not only leading in the real estate market in India, but also the city has witnessed highest absorption rate in office space compared to other metros. In the last quarter of financial year 2012, about 3.4 million square feet of office space were sold in Bangalore, which is 89 percent higher than the equivalent quarter of the last year. In contrast to this, the office space absorption in Delhi-NCR fell from 1.3 million sq ft in Q4 of 2011 to 0.9 million sq ft in Q4 of 2012, according to data collected by Knight Frank, a global realty consultant. But in Mumbai, the absorption of office space rose to 1.3 million sq ft in Q4 of 2012 from 0.9 million sq ft in Q4 of 2011.

So what makes Bangalore perform better than other Indian metros?

S Bhaskaran, chief financial officer at Sobha Developers, a Bangalore-based property developer, stated that "There are good products available at various price points. You can buy a house at any price between Rs 20 lakh and Rs 1 crore or more,” reports Business Standard.

Sameer Jasuja, chief executive of realty research firm PropEquity said that "Prices increase in Bangalore by 10-15 per cent in a year, unlike Mumbai or NCR, where prices go up like crazy. Besides, execution of properties is also much better here."