A Reddit post from a 32-year-old Bengaluru resident reopened a large debate about buying property in the city. He says his net worth stands near ₹7 crore. His monthly take-home pay is about ₹3.7 lakh. He lives in a 3BHK in Jayanagar and pays ₹35,000 rent. He writes that the same plot would cost nearly ₹8 crore to buy today. That price, he argues, breaks the investment case for owning in central Bengaluru. The post mixes clear arithmetic with a strong lifestyle preference, and it drew many replies.
The Reddit post: the math and the discomfort
The poster lays out a tight case. He points to the large gap between capital cost and rent. He notes that a premium Jayanagar plot carries a heavy price tag. Rent at ₹35,000 a month produces a low gross rental yield on an ₹8 crore valuation. He says he can afford homes priced at ₹2–3 crore on the city outskirts. He rejects that option for lifestyle reasons. He lists long commutes, constant construction and crowded roads. He says those areas offer little peace. He also says the ₹8 crore price is too big a bet for his net worth. He does not want to lock most of his money in an illiquid asset and hope prices rise forever. He adds another point. He can use the same capital to buy property in some European countries. That move would offer better planning, calmer neighbourhoods and a route to long-term residency. The poster calls that “optionality.” He chooses to rent in Jayanagar and invest his capital elsewhere.
Why the numbers sting: rental yield and price growth
The main financial issue is rental yield. Rental yield equals annual rent divided by property value. In many premium neighbourhoods that yield sits low. High prices and modest rents push yields into single digits. Peripheral localities often deliver higher gross yields. Many buyers find that gap hard to swallow. The Redditor sees buying an ₹8 crore house that yields little rental income as a poor investment. He prefers to preserve capital flexibility. He also points out scarcity in heritage pockets like Jayanagar. Scarcity drives prices, but it does not raise monthly rent by the same proportion. That produces a structural mismatch between price and cash return.
What the commenters said — three broad camps
The thread’s replies grouped into three clear camps.
- Buyers for lifestyle and security. Many commenters told stories about family needs and long-term stability. They argued that ownership gives control over living space and removes landlord risk. They said ownership suits people raising children or caring for elders. For those people, the math matters less than stability and convenience.
- Investors who avoid central buys. This group agreed with the poster. They prefer peripheral buys or launch-phase projects. They focus on yield, liquidity and diversification. They also suggested renting and investing the freed capital in stocks or overseas property. They warned about concentration risk from locking large sums into one home.
- Buyers who made it work by timing. Some users described successful purchases during launches or before local price jumps. They noted cases where patient buyers saw strong appreciation. They argued that a smart buy can combine a place to live and a long-term asset. Those stories stress timing and product choice.
The market reality: prices keep moving and the narrative shifts
Residential prices in major Indian cities rose in recent quarters. Demand, lower unsold inventory in some segments and active office leasing supported that rise. Research reports show year-on-year price gains in many metros. Bengaluru has seen mixed outcomes across micro-markets. Premium localities and certain fringe pockets held value and often appreciated. Rental growth lagged price growth in many central areas. That split makes pure yield-based investing less attractive in premium pockets. Buyers who focus on lifestyles often accept that split and buy anyway.
Policy, taxes and neighbourhood services: back-end frictions
Beyond yields, carrying costs and local governance alter the ownership case. Property tax increases and higher municipal levies raise holding costs for owners. Recent local coverage highlighted sharp property tax hikes in some layouts. Maintenance fees and condo charges also reduce net returns. Persistent complaints about traffic, water supply and sewage affect perceived value. Those service gaps shape the subjective benefit of living in a neighbourhood. For the Redditor, poor infrastructure and ongoing construction strengthen his choice to rent in a nicer area rather than buy at steep prices.
Alternatives people are choosing
The thread revealed several practical alternatives.
- Rent and invest the difference. Rent in a preferred area and deploy capital to equity, bonds or overseas real estate. The poster follows this path.
- Buy peripheral for investment, rent centrally for lifestyle. Buy a flat on the outskirts for yield or capital gain, then rent in the city centre for comfort.
- Buy at launch. Buy in new developments early to capture lower entry prices. Those buyers accept project risk and potential delays.
- Buy abroad for residency and stability. Some professionals buy property in countries with clearer planning and residency options. That choice can combine a calmer daily life with a stable asset and mobility.
Each option involves trade-offs among commute time, returns, liquidity and lifestyle.
What this means for prospective buyers — a few practical takeaways
- Do the math for the micro-market. Average city figures hide big differences. Central pockets often show low yields. Peripheral tech corridors can show higher yields. Run the numbers for the exact micro-market you consider.
- Separate living needs from investment needs. Treat the house you live in differently from an investment. If your priority is lifestyle, prioritise location and comfort. If your priority is return, focus on yield and exit options.
- Factor in governance and carrying costs. Model property tax, maintenance and other holding costs into your expected return. Those costs reduce net yield and affect cash flow.
- Consider optionality. Renting keeps capital flexible. Owning reduces mobility and can concentrate wealth in one illiquid asset.
Verdict: a personal choice with objective constraints
The Reddit post struck a nerve because it mixes emotion and clear financial logic. The post does not claim a universal truth. Buying in Bengaluru still makes sense for many people. For others, the maths and lifestyle trade-offs reject a central buy today. The core question is simple. Are you buying for sentiment or for return? The poster chooses renting and investing elsewhere. That choice matches his risk appetite, lifestyle and global options. Others will decide differently. The conversation shows a real shift. Workplace geography, high urban costs and rising global mobility change what home ownership means for many professionals.
The poster’s thread and the replies captured wider doubts among urban buyers. The debate will persist. For now, many readers will compare yield, lifestyle and optionality. Some will keep buying in Bengaluru. Others will pause and rerun the numbers. If you want a deeper follow-up, the thread offers comment highlights and real examples that show how people balance these trade-offs