How much is too much is not known in Bangalore.
I have come to Bangalore two years back and I feel that I am already done in this IT city. Before coming here, I was in Hyderabad for more than five years and, in Chennai, for one year. I had very pleasant stay in Hyderabad and it was economical to my pocket, as I joined my first company there.
Bangalore is costly from every angle. You go to sabzi mandi and you will find minimum prices of vegetables start from 40 rupees/kilo, well it can go up to anything but will never come below forty rupees. Is this a cartel?
Auto price is very high (well, it’s not as costlier as in Chennai, which is famous for auto raaz). In case, you are in early morning or after dusk, you should be prepared to pay more. Once you reach your destination, auto-wala will ask for 10 or 20 rupees extra or may not return you balance amount. Here is the response, “sir, I will not get any passenger while returning”!!
Well, if you are tired with auto services, you cannot rely upon city buses because I have seen that there are plenty of buses running in city but almost all run only on straight roads either from east to west or from south to north. This means that if you have to travel daily to and fro your office, you will have to ensure that your house and your work place are on same straight bus route otherwise you have to change buses which could be little hectic in Bangalore traffic.
Another option is to buy own car. Here keep in mind that, in Bangalore, registration charge and road taxes are at higher side. For standard hatchback, you might end up paying 80K to 1L+ just for road tax and this amount is non-refundable in case you decide to take your new car to your native place. I have heard that now you can claim for refund of tax but not seen anyone has actually done so.
After daily commute, it comes to rent of flat which increases exponentially twice every year. Now a standard 2BHK flat costs around 15k to 20k rent per month excluding maintenance charges and tanker charge. Yes, you may not have regular water supply from corporation and have to depend on bore well water, which is shrinking every day, or water tankers. This would take your maintenance charge up to 3k monthly. In case you would like to stay where there are abundant water supplies, a hefty sum of rental would be burden for pocket. Additionally, deposit is very high here and it would be 10 months of rental deposit. So, a rented flat of 20K would require 2L for deposit instantly and another 20K for broker charge, in case you do not have time to find on your own or you did not find any free listing from individual owner. There is another option “individual house”, which is actually property of single owner who would make flat like arrangements and rent out. These people are making good amount of money as they have the lands and they are free to using it as they want. Apparently, individual houses would look cheap but you may not find good ventilation, security for house, lift, power back-ups etc. Rental business is totally un-controlled by government and hence the income comes from this. There is no standard or rate chart anywhere. I wonder that, though in these days, IT industry is not doing well due to many reasons such as fewer visas, fewer onsite opportunities, tight budget and cost cutting, frequent job cuts, delays in fresher’s joining, inclination towards support jobs, lack in employee morale, not-so-brilliant middle management, imbalance in life and work life, but still IT city Bangalore is getting costlier every day. Mumbai has various industries so it is expected to find high living cost there but Bangalore is one industry city that only is getting costlier based on emotion and whims. I read somewhere that RBI has provided CPI (Consumer Price Index) which shows Bangalore is now even costlier than Mumbai!!
Many people, especially in families where both spouses are earning in IT, have opted to buy new flats. In many cases, I have understood that Bangalore is not the city where they want to really settle down but they are looking this as better future investment as, they save on rent (how? this is a good question. They are ready to pay 40K to bank instead of 20K to owner; at least, they will accumulate a big asset to sell, provided that second hand property price will increase more than 10% from current buy price. I am considering bank would have added that 10% as appreciation cost) and get the property at end of loan tenure which is another 15 years. No, I did not find per square feet rates very cheap at all. Price for 2 BHK flat from A+ builders will cost you more than 1 crore. Anything cheaper than that would be around 65L to 75L including everything such as Parking area cost, taxes, registration, VAT etc. I have seen few projects and many of them have cramped rooms where you cannot even fit a proper king size bed. Furthermore, considering that Bangalore has grown already by four times of its size and flats were built on muddy roads, I have found these new projects are coming up beyond the city limits where you won’t have any public facilities such as roads, transports, water, and sewage etc. In many new areas, residents paid charges for water connection to authority 7-8 years back but they still are deprived of the basic facilities.
I am too considering buying property in Bangalore, at least one land. Definitely some IT park will come nearby in future and this will bring prosper too. By the way, someone told me that buy many plots in one particular area, this would help you in case some corporate needs your land. That’s called business minded people – you ought to learn here about investments and making money.
I have come to Bangalore two years back and I feel that I am already done in this IT city. Before coming here, I was in Hyderabad for more than five years and, in Chennai, for one year. I had very pleasant stay in Hyderabad and it was economical to my pocket, as I joined my first company there.
Bangalore is costly from every angle. You go to sabzi mandi and you will find minimum prices of vegetables start from 40 rupees/kilo, well it can go up to anything but will never come below forty rupees. Is this a cartel?
Auto price is very high (well, it’s not as costlier as in Chennai, which is famous for auto raaz). In case, you are in early morning or after dusk, you should be prepared to pay more. Once you reach your destination, auto-wala will ask for 10 or 20 rupees extra or may not return you balance amount. Here is the response, “sir, I will not get any passenger while returning”!!
Well, if you are tired with auto services, you cannot rely upon city buses because I have seen that there are plenty of buses running in city but almost all run only on straight roads either from east to west or from south to north. This means that if you have to travel daily to and fro your office, you will have to ensure that your house and your work place are on same straight bus route otherwise you have to change buses which could be little hectic in Bangalore traffic.
Another option is to buy own car. Here keep in mind that, in Bangalore, registration charge and road taxes are at higher side. For standard hatchback, you might end up paying 80K to 1L+ just for road tax and this amount is non-refundable in case you decide to take your new car to your native place. I have heard that now you can claim for refund of tax but not seen anyone has actually done so.
After daily commute, it comes to rent of flat which increases exponentially twice every year. Now a standard 2BHK flat costs around 15k to 20k rent per month excluding maintenance charges and tanker charge. Yes, you may not have regular water supply from corporation and have to depend on bore well water, which is shrinking every day, or water tankers. This would take your maintenance charge up to 3k monthly. In case you would like to stay where there are abundant water supplies, a hefty sum of rental would be burden for pocket. Additionally, deposit is very high here and it would be 10 months of rental deposit. So, a rented flat of 20K would require 2L for deposit instantly and another 20K for broker charge, in case you do not have time to find on your own or you did not find any free listing from individual owner. There is another option “individual house”, which is actually property of single owner who would make flat like arrangements and rent out. These people are making good amount of money as they have the lands and they are free to using it as they want. Apparently, individual houses would look cheap but you may not find good ventilation, security for house, lift, power back-ups etc. Rental business is totally un-controlled by government and hence the income comes from this. There is no standard or rate chart anywhere. I wonder that, though in these days, IT industry is not doing well due to many reasons such as fewer visas, fewer onsite opportunities, tight budget and cost cutting, frequent job cuts, delays in fresher’s joining, inclination towards support jobs, lack in employee morale, not-so-brilliant middle management, imbalance in life and work life, but still IT city Bangalore is getting costlier every day. Mumbai has various industries so it is expected to find high living cost there but Bangalore is one industry city that only is getting costlier based on emotion and whims. I read somewhere that RBI has provided CPI (Consumer Price Index) which shows Bangalore is now even costlier than Mumbai!!
Many people, especially in families where both spouses are earning in IT, have opted to buy new flats. In many cases, I have understood that Bangalore is not the city where they want to really settle down but they are looking this as better future investment as, they save on rent (how? this is a good question. They are ready to pay 40K to bank instead of 20K to owner; at least, they will accumulate a big asset to sell, provided that second hand property price will increase more than 10% from current buy price. I am considering bank would have added that 10% as appreciation cost) and get the property at end of loan tenure which is another 15 years. No, I did not find per square feet rates very cheap at all. Price for 2 BHK flat from A+ builders will cost you more than 1 crore. Anything cheaper than that would be around 65L to 75L including everything such as Parking area cost, taxes, registration, VAT etc. I have seen few projects and many of them have cramped rooms where you cannot even fit a proper king size bed. Furthermore, considering that Bangalore has grown already by four times of its size and flats were built on muddy roads, I have found these new projects are coming up beyond the city limits where you won’t have any public facilities such as roads, transports, water, and sewage etc. In many new areas, residents paid charges for water connection to authority 7-8 years back but they still are deprived of the basic facilities.
I am too considering buying property in Bangalore, at least one land. Definitely some IT park will come nearby in future and this will bring prosper too. By the way, someone told me that buy many plots in one particular area, this would help you in case some corporate needs your land. That’s called business minded people – you ought to learn here about investments and making money.
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