Pune Sees Faster Rise in House Rents Than Property Prices Over Last 3 Years
Pune Sees Faster Rise in House Rents Than Property Prices Over Last 3 Years
Property prices and house rents in Pune have steadily increased over the past few years. However, a recent report by Anarock Group shows that house rents in the city have risen at a faster pace compared to property prices.
According to the report, Pune has witnessed a 37% rise in housing prices in the last three years. During the same period, rents have shot up by 57% to 65%. This makes Pune one of the few cities where rental growth has outpaced property price growth. In contrast, cities like Bengaluru, Mumbai, Delhi, and Hyderabad have seen a higher rise in property prices than in rents. Apart from Pune, Kolkata and Chennai are also showing a similar trend where rents are growing faster than property rates.
In Pune, areas like Hinjewadi and Wagholi have reported the highest growth in property prices and rents. Both places are hubs for Information Technology (IT) companies, attracting professionals who prefer to rent homes nearby. This high demand for rental homes has contributed to the sharp increase in rents.
In Hinjewadi, the average price of a 1,000 sq. ft. (2 BHK) apartment was Rs 5,710 per sq. ft. at the end of 2021. By the end of 2024, it rose to Rs 7,800 per sq. ft., marking a 37% increase.
During the same period, the average monthly rent for a 2 BHK in Hinjewadi increased from Rs 17,800 to Rs 28,000, showing a 57% rise.
Similarly, in Wagholi, the price of a 1,000 sq. ft. (2 BHK) flat was Rs 4,951 per sq. ft. at the end of 2021. By 2024, it climbed to Rs 6,800 per sq. ft., also reflecting a 37% rise. However, the rent in Wagholi jumped from Rs 14,200 to Rs 23,500 during the same period, a 65% increase.
Experts believe the rental surge is driven by the growing population of IT professionals and migrants who prefer renting homes closer to workplaces in these areas.
