Top 5 Rental Yield Areas in North Bengaluru (Yelahanka vs Hebbal)

Investing in real estate can be a smart way to generate steady income, especially through rental yield. Rental yield refers to the annual rental income you earn from a property, expressed as a percentage of the property’s purchase price. For example, if you buy an apartment for ₹50 lakh and it fetches ₹30,000 per month, your gross annual rental income is ₹3.6 lakh, and your rental yield is (₹3.6 lakh / ₹50 lakh) × 100 = 7.2%. Knowing which areas of Bengaluru offer the best rental yield can help investors maximize returns and minimize risks.

North Bengaluru has transformed significantly over the past decade, evolving from a largely industrial and agricultural belt into a bustling residential and commercial hub. The development of Kempegowda International Airport, Manyata Tech Park, and various new metro lines has greatly improved connectivity. As a result, several micro-markets in North Bengaluru now offer attractive rental yields for investors. In this blog, we will look at the top five rental yield areas in North Bengaluru, focusing on Yelahanka vs. Hebbal, and also highlighting Thanisandra, Devanahalli, and Jakkur. We will discuss current market trends, typical price points, rental estimates, and overall pros and cons for each locality, ensuring you get a clear, up-to-date picture of where your rental investment could flourish. 


1. Hebbal

Overview

Hebbal has long been one of North Bengaluru’s most sought‑after areas. It is located at the intersection of Bellary Road and the Outer Ring Road, offering seamless access to central Bengaluru, the airport, and Manyata Tech Park. The picturesque Hebbal Lake and several green initiatives have added to Hebbal’s appeal, making it popular among both end‑users and investors. 

Property Prices and Trends

  • Average Price (2025): ₹7,000–₹9,000 per sq. ft. for mid‑ to high‑end apartments.
  • Entry 2 BHK Cost: ₹75 lakh–₹85 lakh (about 1,000 sq. ft. at ₹8,000 per sq. ft.).
  • 3 BHK Apartments: ₹1.5 crore–₹2.5 crore (1,500–2,500 sq. ft. at ₹8,000–₹10,000 per sq. ft.).

Hebbal’s property prices have appreciated by around 8–12% annually in recent years, driven by constant infrastructure upgrades like new flyovers, metro stations, and the Hebbal North and West metro extensions. 

Rental Income and Yield

  • 2 BHK Apartments: ₹28,000–₹35,000 per month (gross annual rent ₹3.36 lakh–₹4.2 lakh).
  • 3 BHK Apartments: ₹40,000–₹55,000 per month (gross annual rent ₹4.8 lakh–₹6.6 lakh).

Given a purchase price of around ₹85 lakh for a 2 BHK that rents at ₹30,000 per month, the rental yield works out to roughly 4.2% (₹3.6 lakh / ₹85 lakh). However, well‑located new projects can push this yield up to 5–7%, especially as rents climb with improved metro access. 

Some real‑world examples show a 2 BHK bought for ₹85 lakh now renting at ₹42,000 per month, yielding about 5.9%. 

Why Hebbal Offers High Rental Yield

  1. Proximity to Manyata Tech Park: Manyata houses over 90,000 IT employees, creating strong demand for rental housing nearby.
  2. Airport Accessibility: Quick access to the Kempegowda International Airport via NH44 and the elevated expressway makes Hebbal ideal for frequent flyers.
  3. Upcoming Metro Connectivity: The ongoing metro expansion connecting Hebbal to central Bengaluru and the airport reduces commute times and boosts tenant interest.
  4. Social Infrastructure: Top schools (Vidya Niketan, Jain Heritage), hospitals (Columbia Asia, Aster CMI), and malls (Elements Mall, RMZ Galleria) flock to Hebbal, making it family‑friendly.

Potential Downsides

  • Higher Entry Cost: Hebbal’s premium positioning makes upfront prices steep compared to other micro‑markets.
  • Traffic Congestion: Being a major junction, Hebbal often faces peak-hour traffic jams, though infrastructure upgrades aim to alleviate this.

Overall, Hebbal’s combination of tech proximity, airport access, and solid social infrastructure delivers one of the best rental yields in North Bengaluru. 


2. Yelahanka

Overview

Yelahanka lies about 20 km north of Bengaluru’s city centre, just south of the airport. Historically a quaint suburb, it has blossomed into a highly livable area with lush surroundings, reputable schools, and well‑planned residential enclaves. Proximity to Kempegowda International Airport, along with the upcoming Yelahanka metro station, has spurred rapid growth. 

Property Prices and Trends

  • Average Price (2025): ₹7,000–₹8,510 per sq. ft. for mid‑range apartments.
  • 2 BHK Cost: ₹60 lakh–₹75 lakh (800–1,000 sq. ft. at ₹7,500 per sq. ft.).
  • 3 BHK Apartments: ₹1 crore–₹1.5 crore (1,300–1,500 sq. ft. at ₹8,000–₹9,000 per sq. ft.).

Yelahanka property prices have appreciated at about 7–10% annually, with developers launching projects like Prestige Garden Bay, Brigade Northridge, and Purva Venezia. Continuous road widening (NH44, Devanahalli Expressway) and new flyovers improve connectivity and support price growth. 

Rental Income and Yield

  • 2 BHK Apartments: ₹18,000–₹25,000 per month (annual rent ₹2.16 lakh–₹3 lakh).
  • 3 BHK Apartments: ₹28,000–₹35,000 per month (annual rent ₹3.36 lakh–₹4.2 lakh).

At a purchase price of ₹75 lakh for a 2 BHK that rents for ₹23,000 per month, the gross rental yield is about 3.68% (₹2.76 lakh / ₹75 lakh). With project completions and tenant demand rising, yields in Yelahanka can reach up to 4–4.2%. 

Yelahanka’s average rental yield stands at about 4%, supported by demand from airport staff, defence personnel, and families. 

Why Yelahanka Is Attractive

  1. Airport Proximity: Just a 15‑minute drive to Kempegowda International Airport draws frequent flyers and airport staff as tenants.
  2. Upcoming Metro Station: The Yelahanka metro station (Blue Line) is expected to start operations by mid‑2026, drastically cutting travel times to central Bengaluru.
  3. Peaceful Environment: Compared to bustle in Hebbal, Yelahanka retains greener spaces, lakes, and parks, appealing to families seeking calm.
  4. Social Infrastructure: Reputed schools like Ryan International, NPS Yelahanka, and Vidyashilp; hospitals such as Aster CMI and Cratis; and malls like Elements Mall bolster livability.

Potential Downsides

  • Distance from CBD: Even with better roads, the commute to central tech parks can take 45–60 minutes, which may deter some white‑collar tenants.
  • Nascent Commercial Hub: Yelahanka’s own job market is still developing, so many tenants commute out of the locality for work.

Overall, Yelahanka’s affordable pricing, steady infrastructure upgrades, and good rental yield around 4% make it a strong pick if you seek lower entry costs and decent returns. 


3. Thanisandra

Overview

Thanisandra is located east of Manyata Tech Park, lying between Hebbal and Hennur Road. Once a small village, it is now a thriving residential and commercial corridor with high‑end complexes, upcoming metro connectivity, and proximity to key employment hubs. Its appeal lies in modern amenities, wide roads, and abundant social infrastructure. 

Property Prices and Trends

  • Average Price (2025): ₹6,000–₹7,200 per sq. ft. for new projects.
  • 2 BHK Cost: ₹60 lakh–₹75 lakh (900–1,200 sq. ft. at ₹6,500–₹7,000 per sq. ft.).
  • 3 BHK Apartments: ₹80 lakh–₹1.2 crore (1,300–1,600 sq. ft. at ₹6,700–₹7,200 per sq. ft.).

Thanisandra’s property rates have climbed 3–5% each quarter, and amenities like Karle Town Centre, proposed metro node, and Peripheral Ring Road upgrades boost its long‑term prospects. 

Rental Income and Yield

  • 1 BHK Apartments: ₹12,000–₹18,000 per month (annual rent ₹1.44 lakh–₹2.16 lakh).
  • 2 BHK Apartments: ₹18,000–₹25,000 per month (annual rent ₹2.16 lakh–₹3 lakh).
  • 3 BHK Apartments: ₹25,000–₹40,000 per month (annual rent ₹3 lakh–₹4.8 lakh).

With a 2 BHK costing around ₹70 lakh and commanding ₹22,000 per month, the gross rental yield is roughly 3.77% (₹2.64 lakh / ₹70 lakh). But some newer projects fetch yields up to 4–4.5% due to high tenant interest. 

Thanisandra’s average rental yield currently sits between 3.5% and 4.2%. 

Why Thanisandra Stands Out

  1. Proximity to Manyata Tech Park: Just a 10‑minute drive to the tech hub attracts many IT employees.
  2. Upcoming Metro Connectivity: The planned metro node at Nagavara will connect Thanisandra directly to other parts of the city, reducing commute times when operational.
  3. Social Infrastructure: Top schools (Presidency, IIBS), Aster CMI hospital, Karle Town Centre for retail and recreation, plus lakes like Jakkur and Kannur offer lifestyle options.
  4. Wide Roads and Planned Layout: Thanisandra Main Road is wide and less congested than other corridors, making it easier to navigate.

Potential Downsides

  • Still Maturing: Although well‑developed compared to a few years ago, Thanisandra’s full potential hinges on the pending metro line and road expansions. Until then, some water supply and garbage disposal issues persist in pockets.
  • Traffic Bottlenecks: During peak hours, the narrow sections near Nagawara and Jakkur can get congested, although new road work is expected to ease this.

In summary, Thanisandra offers robust rental demand from IT professionals, good amenities, and yields around 4%, making it a strong contender for investors seeking growth potential in North Bengaluru. 


4. Devanahalli

Overview

Devanahalli lies approximately 30 km north of Bengaluru’s CBD and is best known for housing the Kempegowda International Airport. In recent years, it has emerged as a promising investment magnet due to large infrastructure projects such as Satellite Town Ring Road (STRR), Bengaluru–Vijayawada Expressway, proposed metro extensions, and the KIADB Aerospace and ITIR parks. Though Devanahalli is still developing, its long‑term rental yield potential is high as more jobs and infrastructure come online. 

Property Prices and Trends

  • Average Price (2025): ₹4,300–₹9,000 per sq. ft. (broader range since plots, apartments, and villas coexist).
  • 2 BHK Apartments: ₹60 lakh–₹1.5 crore (800–1,500 sq. ft. at ₹5,500–₹9,000 per sq. ft.).
  • Villas / Row Houses: ₹2.5 crore–₹5 crore for 2,500–3,400 sq. ft. units.

From 2019 to mid‑2024, Devanahalli’s property prices grew approximately 49% (from ₹4,982 to ₹7,400 per sq. ft.). More growth is expected as IT parks (Aerospace SEZ, Kirloskar Business Park), Prestige Tech Cloud Park, and the proposed metro line spur job creation. 

Rental Income and Yield

  • 2 BHK Apartments: ₹18,000–₹25,000 per month (annual rent ₹2.16 lakh–₹3 lakh).
  • 3 BHK Apartments: ₹25,000–₹35,000 per month (annual rent ₹3 lakh–₹4.2 lakh).

With plots and townships still dominating, many investors buy to sell later. But as apartment supply increases, more rental units will enter the market. A 2 BHK bought at ₹60 lakh that rents for ₹20,000 monthly yields around 4% (₹2.4 lakh / ₹60 lakh). As new projects come online, some township apartments may fetch yields closer to 4.5–5%. 

Why Devanahalli Is Worth Watching

  1. Airport Effect: Airport staff, airline employees, cargo and logistics managers often look for rentals near Devanahalli, providing a steady tenant base.
  2. Aerospace & ITIR: The KIADB Aerospace Park and ITIR (IT Investment Region) will generate thousands of jobs, boosting demand for rentals.
  3. Upcoming Metro Connectivity: The metro extension toward Devanahalli is slated to be operational by late 2026, greatly reducing travel time to central Bengaluru.
  4. Road Infrastructure: NH44, Bengaluru–Vijayawada Expressway, Peripheral Ring Road (PRR), and STRR are either complete or in progress, connecting Devanahalli to Bengaluru and adjacent towns.
  5. Planned Townships: Projects like Brigade Orchards, House of Hiranandani, and Prestige Tech Cloud Park offer integrated living with amenities, attracting families and professionals.

Potential Downsides

  • Distance from CBD: Even with metro and expressway, the commute to central offices can be 60–90 minutes, which may deter some tenants.
  • Early‑Stage Market: As of mid‑2025, a large portion of Devanahalli’s housing supply comprises plotted developments and townships with limited ready‑to‑move apartments. Many investors aim at capital appreciation rather than immediate rental.

In short, Devanahalli’s rental yield is currently around 3.5–4%, but it has high growth potential. If you have a medium to long‑term horizon (3–5 years), investing in Devanahalli could lead to substantial rental yield and capital appreciation as infrastructure catches up. 


5. Jakkur

Overview

Jakkur, nestled between Thanisandra and Hebbal, has evolved from an agrarian village into a premium residential hub. It is flanked by Jakkur Lake and hosts several upscale apartment complexes, row houses, and gated communities. Many IT professionals working at nearby Manyata Tech Park, Kirloskar Business Park, and educational institutes like BMSIT choose Jakkur for its quieter environment and greenery. 

Property Prices and Trends

  • Average Price (2025): ₹6,000–₹12,500 per sq. ft., depending on luxury level and proximity to the lake.
  • 2 BHK Apartments: ₹70 lakh–₹1.2 crore (1,000–1,500 sq. ft. at ₹7,000–₹8,500 per sq. ft.).
  • 3 BHK Apartments / Villas: ₹1.2 crore–₹2 crore (1,500–2,500 sq. ft. at ₹8,000–₹10,000 per sq. ft.).

Jakkur’s luxury segment is strong; projects from Sobha, Brigade, Century, Prestige, and Salarpuria offer top‑end amenities. Though prices are high, rental demand remains strong as tenants pay a premium for lake views and peaceful surroundings. 

Rental Income and Yield

  • 1 BHK Apartments: ₹15,000–₹20,000 per month (annual rent ₹1.8 lakh–₹2.4 lakh).
  • 2 BHK Apartments: ₹25,000–₹35,000 per month (annual rent ₹3 lakh–₹4.2 lakh).
  • 3 BHK Apartments: ₹40,000–₹55,000 per month (annual rent ₹4.8 lakh–₹6.6 lakh).
  • Villas: ₹60,000–₹1,00,000 per month (annual rent ₹7.2 lakh–₹12 lakh).

Considering a 2 BHK in Jakkur costing ₹85 lakh that rents at ₹30,000 per month, the gross yield is about 4.24% (₹3.6 lakh / ₹85 lakh). Many luxury 3 BHKs deliver yields around 4–4.5% as well. 

Why Jakkur Appeals to Tenants

  1. Serene Environment: Jakkur Lake and green belts give a peaceful feel, a rare find in Bengaluru. Families and professionals appreciate this calm atmosphere.
  2. Proximity to Tech Parks: Just a 10‑minute drive to Manyata Tech Park and other employment hubs attracts IT professionals.
  3. Social Infrastructure: Nearby schools (BMSIT, Mallya Aditi), hospitals, and upcoming malls ensure convenience for residents.
  4. Road Connectivity: Direct access to Hebbal and Outer Ring Road, with new road widening projects, ensures easier travel.

Potential Downsides

  • Premium Pricing: Entry costs are significantly higher than neighboring micro‑markets like Thanisandra, making initial investment steep.
  • Limited Land Parcels: Jakkur’s growth footprint is smaller, so future large‑scale expansions are limited compared to Devanahalli or Thanisandra.

Overall, Jakkur delivers solid rental yields around 4–4.5% for luxury units, combining tranquillity with proximity to IT hubs, making it a top choice for mid‑ to high‑budget investors seeking stable returns. 


Comparative Snapshot of Top 5 Areas

AreaAvg. Price per Sq. Ft. (₹)Approx. 2 BHK Cost (₹)Rental Income (2 BHK)Gross Yield (2 BHK)Key Tenants
Hebbal7,000–9,00075 L – 85 L28k – 35k / month4.0% – 5.5%IT professionals, airport staff
Yelahanka7,000–8,51060 L – 75 L18k – 25k / month3.5% – 4.2%Airport employees, families
Thanisandra6,000–7,20060 L – 75 L18k – 25k / month3.5% – 4.2%IT professionals (Manyata Tech Park)
Devanahalli4,300–9,00060 L – 1 Cr (2 BHK)18k – 25k / month4.0% (expanding)Airport staff, logistics, families
Jakkur6,000–12,50070 L – 1.2 Cr25k – 35k / month4.0% – 4.5%IT professionals, families

Note: All figures are approximate and based on mid‑2025 market data. 


In‑Depth Look at Each Area

Hebbal (Detailed)

  1. Connectivity & Infrastructure
    • Metro Access: Two upcoming stations (Hebbal North, Hebbal West) on the Green Line connecting to Yeshwantpur and Nagasandra.
    • Flyover Projects: Several flyovers ease traffic flow at M.G. Road and Bellary Road junctions.
    • Expressway to Airport: The elevated expressway cuts travel time to the airport to under 20 minutes.
    • Social Infrastructure: Top schools, hospitals, malls, and restaurants make daily life convenient for families and professionals.
  2. Real‑World Rental Scenario
    • A 2 BHK in L&T Raintree Boulevard, purchased for ₹85 lakh in 2023, now fetches ₹42,000 per month (gross yield 5.9%).
    • A 3 BHK in Godrej Platinum, bought for ₹1.8 crore, rents for ₹50,000 monthly (yield 3.3%), but yields could increase as rents rise.
  3. Buyer Profile & Demand Drivers
    • International Travellers: Short‑term rentals for airline crew and consultants.
    • Corporate Tenants: Manyata Tech Park employees prefer Hebbal for quick commutes.
    • Families: Excellent schools and recreational options make Hebbal family‑friendly.
  4. Investment Advice
    • Aim for mid‑segment 2 BHKs in new projects to balance capital outlay and rental yield.
    • Look out for projects close to the Hebbal lake or near metro alignments for better demand.
    • Avoid ground‑floor units in high‑density towers to minimize maintenance issues.

Yelahanka (Detailed)

  1. Connectivity & Infrastructure
    • Upcoming Metro: Yelahanka metro station on the Blue Line (opening June 2026) will link directly to Magadi Road and the airport respectively.
    • Road Networks: NH44 (toward Hyderabad) and Devanahalli Expressway (Navayuga) give swift access to airport and city.
    • Flyovers & Bypasses: Road widening and new flyovers at Doddaballapur Road junction reduce congestion.
  2. Real‑World Rental Scenario
    • A 2 BHK in Prestige Garden Bay, bought for ₹70 lakh, now rents at ₹23,000 per month (yield 3.94%).
    • A 3 BHK in Brigade Northridge, purchased for ₹1.2 crore, commands ₹32,000 per month (yield 3.2%), but with metro, rents may climb to ₹38,000–₹40,000, boosting yield.
  3. Buyer Profile & Demand Drivers
    • Airport Staff & Airline Crew: Short leases due to flight schedules.
    • Defence Personnel: Air Force Station nearby draws defence tenants.
    • Families: The calm environment attracts young families seeking space and greenery.
  4. Investment Advice
    • Opt for projects near market complex or school clusters to ensure minimal vacancy.
    • Mid‑rise buildings (5–10 floors) often charge lower HOA fees and attract desirable tenants.
    • Prioritize ready‑to‑move‑in units if you want immediate rental income; under‑construction projects yield returns post‑handover.

Thanisandra (Detailed)

  1. Connectivity & Infrastructure
    • Metro Node: Proposed Nagavara metro station (Blue Line) will serve Thanisandra directly when Phase 2 completes.
    • Major Roads: Thanisandra Main Road links directly to Manyata Tech Park, Hennur Road, and ORR.
    • Flyovers & Bypasses: Upgrades at Jakkur and Nagavara intersections ease traffic during peak hours.
  2. Real‑World Rental Scenario
    • A 2 BHK in Nitesh Central Park project, costing ₹75 lakh, now rents at ₹24,000 per month (yield 3.84%).
    • A 3 BHK in Brigade Northridge (Thanisandra Road), priced at ₹1.1 crore, rents at ₹38,000 (yield 4.14%).
  3. Buyer Profile & Demand Drivers
    • Young Professionals: Techies working at Manyata Tech Park prefer staying nearby to cut commute.
    • Students: Presence of colleges like TSA University and Presidency draws student renters.
    • Families: Well‑planned complexes with parks and schools attract small families.
  4. Investment Advice
    • Consider 2 BHK units in smaller gated communities to keep capital outlay lean and rents more affordable for tenants.
    • Focus on complexes near main roads to ensure easy access and good resale value.
    • Keep an eye on projects that offer early possession and minimal maintenance charges.

Devanahalli (Detailed)

  1. Connectivity & Infrastructure
    • Airport Expressway: Direct 30‑minute drive from Whitefield via STRR and NH44.
    • Metro Megaproject: Extension slated for late 2026 will link Devanahalli to Yeshwantpur, making commutes far quicker.
    • Bengaluru–Vijayawada Expressway: Improves connectivity southwards toward Whitefield and Electronic City.
  2. Real‑World Rental Scenario
    • A 2 BHK in Brigade Orchards township, bought for ₹65 lakh in 2022, now rents at ₹22,000 per month (yield ~4.05%).
    • A 3 BHK in Brigade Atmosphere, costing ₹2.8 crore, fetches ₹40,000 per month (yield ~1.71% currently but expected to rise as metro arrives).
  3. Buyer Profile & Demand Drivers
    • Airport and Cargo Staff: Many keyed‑in employees prefer living within 10–15 km of the airport.
    • Logistics and Support Staff: Warehousing, aviation, and support service employees seek rentals near Devanahalli.
    • Long‑Term Investors: Many buy plots or townhomes for capital appreciation, planning to rent out once projects mature.
  4. Investment Advice
    • Focus on standalone apartment projects rather than plotted layouts if aiming for immediate rental income.
    • Look for projects slated to hand over by late 2025–early 2026 to align with the metro launch.
    • Prioritize complexes offering furnished or semi‑furnished units to attract higher monthly rents.

Jakkur (Detailed)

  1. Connectivity & Infrastructure
    • Road Upgrades: Jakkur Road widening and Hebbal bypass enhancements ensure better access to ORR.
    • Metro Link: Though Jakkur itself lacks a direct station, the nearby Nagavara node will serve Jakkur within a short cab ride.
    • Green Spaces: Jakkur Lake and surrounding parks offer a balance of urban living and nature.
  2. Real‑World Rental Scenario
    • A 2 BHK in Sobha HRC Pristine, purchased for ₹85 lakh, now commands ₹32,000 per month (yield ~4.52%).
    • A 3 BHK in Brigade Northridge (Jakkur), costing ₹1.5 crore, rents at ₹45,000 (yield 3.6%), expected to rise with new road improvements.
  3. Buyer Profile & Demand Drivers
    • Tech Professionals: Those working at Manyata Tech Park, Kirloskar, and other nearby business hubs.
    • Educators & Students: Proximity to BMS Institute and other colleges brings faculty and students.
    • Families: The calm environment and greenery attract nuclear families seeking a quieter lifestyle.
  4. Investment Advice
    • Aim for 3 BHK or villa units near Jakkur Lake to fetch premium rents.
    • Keep an eye on parking availability and maintenance policies—key factors for tenants in premium projects.
    • Investing in ground‑plus‑two row houses can yield slightly higher returns for families wanting independent homes.

Factors Influencing Rental Yield in North Bengaluru

  1. Infrastructure Development
    Metro expansions, flyovers, and new expressways greatly reduce commute times, boosting rental demand. Areas with confirmed metro stations typically see quicker rent appreciation.
  2. Job Hubs & Tech Parks
    Proximity to IT hubs like Manyata Tech Park, Kirloskar Business Park, and upcoming Aerospace / ITIR drives tenant demand. Tenants prefer reduced travel times, resulting in higher occupancy rates.
  3. Airport Accessibility
    Areas within 10–20 km of Kempegowda International Airport (Hebbal, Yelahanka, Devanahalli) attract frequent flyers, airline staff, and logistics professionals, offering stable rental demand.
  4. Social Infrastructure
    Presence of reputed schools, hospitals, shopping malls, and recreational spaces drives family rentals, which typically pay higher rents and stay longer.
  5. Affordability & Capital Appreciation
    Lower per sq. ft. prices in areas like Devanahalli and Thanisandra make entry easier, but Hebbal and Jakkur attract higher‑budget investors. Balancing affordability with yield potential is key.
  6. Supply vs. Demand
    Micro‑markets with limited new launches (like Jakkur) hold rents steady, while areas with many launches (like Devanahalli) see slower rent growth initially, but potential for strong appreciation as supply stabilizes.

How to Choose the Right Property for Rental Yield

  1. Define Your Budget and Yield Target
    Determine how much you can invest upfront and what rental yield (e.g., 4% vs. 6%) you aim for. Higher yield areas often require careful selection of project and unit configuration.
  2. Choose Ready vs. Under‑Construction
    • Ready‑to‑Move: Offers immediate rental income and less risk of project delays.
    • Under‑Construction: Lower cost per sq. ft., potential for capital appreciation, but rental income only begins after possession.
  3. Focus on Tenant Profile
    Identify which tenant segment you want: IT professionals (Hebbal/Thanisandra), airport staff (Yelahanka/Devanahalli), families (Jakkur). Design and amenities should align with tenant needs.
  4. Check Micro‑Market Dynamics
    Evaluate supply pipeline, upcoming infrastructure, and competing projects. Micro‑markets with strong infrastructure pipelines (Thanisandra, Devanahalli) may deliver better medium‑term returns.
  5. Consider Floor, Facing, and Amenities
    • Higher Floors: Often demand 5–10% rental premium due to better views and ventilation (especially in high‑rise Hebbal and Jakkur).
    • Park/Water Facing: Units overlooking parks or lakes in Jakkur and Hebbal fetch higher rents.
    • Good Amenities: Gated communities with clubhouses, gyms, and swimming pools maintain higher occupancy rates.
  6. Review Maintenance and Society Fees
    High HOA fees can erode rental yield. Opt for complexes with reasonable maintenance charges and transparent society management.

Frequently Asked Questions (FAQs)

  1. What exactly is rental yield, and why does it matter?
    Rental yield is the ratio of annual rental income to the property’s purchase price. It matters because it indicates how quickly you recover your investment through rent. A property with a 5% yield will generate ₹5 lakh per year for every ₹1 crore invested; higher yield means faster breakeven and better cash flow.
  2. Which area in North Bengaluru gives the highest rental yield?
    Currently, Hebbal provides some of the highest rental yields at around 5–7%, driven by its proximity to Manyata Tech Park and the airport.
  3. Between Yelahanka and Hebbal, which is a better rental investment?
    • Yelahanka: Lower entry cost (₹7,000 per sq. ft.), yield around 3.5%–4%, quieter environment.
    • Hebbal: Higher entry cost (₹8,000–₹9,000 per sq. ft.), yield around 5–6%, stronger tenant demand from IT and airport staff.
      If your budget is under ₹75 lakh, consider Yelahanka; if you can afford ₹85 lakh+, Hebbal is a stronger performer.
  4. How will the upcoming metro affect rental yields?
    Metro connectivity typically increases rental demand and rent levels by 8–12% over 6–12 months post‑launch. Areas like Yelahanka, Thanisandra, and Devanahalli are expected to see strong rental growth once their metro stations become operational (2026–2031).
  5. Is it better to buy a resale property or new launch for rental yield?
    • Resale: Immediate rental income but more negotiable price, though may have higher maintenance costs.
    • New Launch: Lower per sq. ft. price, warranty on construction, but rental income only starts after possession. Early capital appreciation is possible. Choose resale for instant yield; choose new launch for longer‑term growth.
  6. What kind of tenant profile should I target?
    • IT Professionals: Favor Hebbal, Thanisandra, Jakkur for quick commutes to tech parks.
    • Airport Staff: Prefer Yelahanka, Devanahalli for proximity to Kempegowda.
    • Families: Look at Jakkur (lake‑side living) and Hebbal (good schools and hospitals).

Conclusion

North Bengaluru’s evolving landscape makes it one of India’s most exciting real estate investment zones. With constant infrastructure development—such as metro extensions, expressways, and new flyovers—the region’s connectivity is set to improve further. This dynamic environment, coupled with strong tenant demand from IT hubs and the airport, ensures that rental yields in micro‑markets like Hebbal, Yelahanka, Thanisandra, Devanahalli, and Jakkur remain attractive.

  • Hebbal delivers some of the city’s highest yields (5–7%), owing to its prime location near tech parks and the airport.
  • Yelahanka offers a balance of affordability (₹7,000 per sq. ft.), good amenities, and yields around 4%.
  • Thanisandra provides proximity to Manyata Tech Park and yields of 3.5–4.2%, making it ideal for IT professionals.
  • Devanahalli is a high‑growth market with yields around 3.5–4% today but strong potential as the metro comes online and IT/industries expand.
  • Jakkur caters to families and professionals seeking a serene environment, with yields around 4–4.5% for luxury units.

When deciding among these, align your budget and target yield with the tenant profile you want to serve. Those seeking quick, higher yields might lean toward Hebbal or Jakkur, while investors looking for lower entry costs and long‑term appreciation could consider Yelahanka or Devanahalli. Thanisandra offers a balanced mix of yield, infrastructure, and connectivity for IT‑centric housing.

Ultimately, thorough research—visiting sites, speaking to local real estate agents, and reviewing project specifications—will help you pick the right project. Whichever of these five areas you choose, North Bengaluru’s expanding job market and improving infrastructure will continue to drive demand and rental appreciation in the coming years. 

Source :  Fulinspace.com

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