IT Employees Leaving Bangalore: What’s Happening?

Impact of the Pandemic

The impact of the coronavirus has brought significant changes to people and the country, especially in major cities. In Bangalore, a city filled with IT companies, people have made many crucial decisions following the pandemic. These decisions are poised to turn the real estate industry upside down.

Work from Home Trend

Millions of people in Bangalore have been working from home since the arrival of COVID-19. Many IT companies are planning to have 50 to 75 percent of their employees work from home permanently to cut costs post-pandemic.

Shift to the Outskirts

As a result, both tenants and potential homebuyers are opting to purchase homes outside the city instead of within the city limits.

Changing Mindset

Most employees in Bangalore work in IT or related digital trades. Despite the pandemic, 80 percent of work continues efficiently because everyone is working from home. With IT companies planning to offer permanent work-from-home options even after the pandemic, people are looking for various ways to cut expenses.

Major Expenses

One of the biggest burdens for people living in large cities like Bangalore is the cost of rent. In cities like Mumbai and Delhi, rents range from 20,000 to 30,000. With salaries reduced during the pandemic, people are starting to rent homes outside the main city areas.

New Home Purchases

Additionally, those planning to buy new homes are showing a strong interest in purchasing houses on the outskirts of the city. Buying homes in outer areas is cheaper, and as the city expands, these properties are expected to yield higher profits.

Impact on Real Estate

As a result, home sales in the city have come to a complete halt, and property values are at risk of significantly dropping.

Returning to Hometowns

Beyond that, the availability of work-from-home options even after COVID-19 is prompting many people in Bangalore to vacate their homes and move back to their hometowns to cut costs.

Most Affected Areas

The areas most affected by this shift include Mahadevapura, Whitefield, Electronic City, Bellandur, and Sarjapur.

Metro Expansion

To address this, the metro service in Bangalore is being expanded, which will alleviate transportation issues for the public.

Future of Real Estate

The next phase of real estate and commercial development is expected to occur in secondary areas. Notably, Challaghatta, Gottigere, and Bommasandra are considered key growth areas.