Average monthly rentals in posh residential colonies across seven major cities rose 8-18 percent in the last two years while capital value appreciated by 2-9 percent, according to Anarock.
Real estate consultant Anarock noted that demand for luxury residential properties — for buying and renting — in upscale colonies has increased across the seven cities namely Delhi-NCR, Mumbai Metropolitan Region (MMR), Chennai, Kolkata, Bengaluru, Hyderabad, and Pune.
As per the data, Mumbai’s Worli saw the highest rental growth of 18 percent to ₹2.35 lakh per month from ₹2 lakh per month in 2020 for luxury homes of a minimum of 2,000 square feet area.
Bengaluru’s Rajaji Nagar witnessed the highest capital appreciation of 9 percent with average prices increasing to ₹6,200 per square foot in 2022 from ₹5,698 per sq ft in 2020.
“Most prominent luxury housing markets witnessed double-digit growth in rentals in the last two years,” Anarock Chairman Anuj Puri said.
“Pre-COVID, average 2-year luxury rental increases at a given time were largely single-digit, between 5-7 percent,” he added.
Puri said tenant preference has tilted towards large-size homes after the second wave of the pandemic.
As per the data, the monthly rentals in luxury residential hotspot JP Nagar, Bengaluru rose by 13 percent to ₹52,000 in 2022 from ₹46,000 in 2020. Capital value increased 9 percent to ₹6,200 per square foot.
At Rajaji Nagar in Bengaluru, the average monthly rentals rose by 16 percent to ₹65,000 from ₹56,000 in 2020. Capital value grew 5 percent to ₹139,00 per square foot.
In Chennai, average rentals in Anna Nagar rose 13 percent to ₹63,000 from ₹56,000 per month. Capital prices increased by 5 percent to ₹11,850 per square foot from ₹11,300 per square foot.
Similarly, in Kotturpuram, the average monthly rentals rose by 14 percent to ₹84, 000 from ₹74,000 in 2020. Capital prices rose by 4 percent to ₹14,000 per square foot.
Average monthly rentals in the luxury residential hotspot Jubilee Hills, Hyderabad rose 15 percent to ₹62,000 in 2022. Capital value appreciated 6 percent to ₹7,400 from ₹6,950 per square foot.
HITECH City in Hyderabad saw an average rental increase of 11 percent to ₹59,000. The increase in capital prices was 7 percent to ₹6,100 per sq ft.
In Kolkata, luxury home rentals in Alipore rose 8 percent to ₹65,000 in 2022 against ₹60,000 per month in 2020. Capital prices increased by 4 percent to ₹13, 500 per square foot.
At Ballygunge, average monthly rentals rose 10 percent to ₹97,000 from ₹88,000, while capital prices were up by 3 percent to ₹11,700 from ₹11,350 per square feet.
In MMR, average monthly rentals in Tardeo rose 15 percent to ₹3.1 lakh from ₹2.7 lakh. Capital prices increased by only 3 percent to ₹43,000 from ₹41,862 per square foot in 2020.
In Worli, average rentals increased 18 percent to ₹2.35 lakh per month from ₹2 lakh per month in 2020. Capital values saw a mere 2 percent rise to ₹39,350 per square foot from ₹38,560..
In Delhi-NCR, average monthly rentals in Golf Course Road increased by 11 percent to ₹78,000 from ₹70,000 in 2020. Capital values saw a mere 3 percent rise to ₹13,500 from ₹13,150 per square foot.
Likewise, Golf Course Extension Road saw monthly rentals increase by 12 percent to ₹56,000. Capital prices rose 5 percent to ₹8,700 from ₹8,300 per square foot in 2020.
In Pune, average rentals in Koregaon Park rose 14 percent to ₹68,000 per month from ₹59,500 per month in 2020. Capital prices increased by 4 percent to ₹11,600 per sq ft.
At Prabhat Road in Pune, average monthly rentals rose by 8 percent to ₹69,000. Capital prices rose by just 3 percent to ₹12,900 per square foot.