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Rental housing market sees 7.5% quarterly surge in q3 2025

Demand-supply gap narrows to 12% from 20%; Bengaluru, Pune, Hyderabad lead with double-digit rent hikes.

Rental housing market sees 7.5% quarterly surge in q3 2025
Source: https://x.com/streetfrontier/status/1868284698650464747?s=20

Newsroom, November 20, 2025: India's rental housing sector recorded a 7.5% quarter-on-quarter rise in average rents during July-September 2025, with the demand-supply gap shrinking to 12% from 20% earlier, according to Magicbricks Research.

Bengaluru topped the chart with 10-15% increases, followed by Pune and Hyderabad at 8-12%, driven by IT/ITeS return-to-office policies and student inflows.

Tier-2 cities like Coimbatore and Jaipur saw 5-8% jumps, while Delhi-NCR and Mumbai held at 4-6% amid higher base rates.

The report notes 2BHK units dominating 55% of searches, with premium segments (Rs 50,000+ monthly) growing fastest in gated societies. Supply lagged demand in most metros, pushing yields to 3.8-4.2%.

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