Bengaluru’s real estate market, once fueled by the booming IT sector, is reportedly showing signs of strain. A Reddit user recently sparked a debate, pointing to layoffs and stagnant hiring as major concerns. The discussion centred on whether it’s the right time for IT professionals to invest in real estate or if they should reassess their financial priorities amid economic uncertainty.
While some Redditors expressed concerns about job insecurity and mortgage commitments, others argued that delaying a purchase could mean facing even higher property prices in the future, making homeownership increasingly unaffordable.
“For IT professionals planning to buy a flat, what’s your fallback plan if you get laid off? With current EMIs being so high due to rising property prices, even a few months of unemployment could put you in serious financial trouble,” one Redditor wrote.
On the other hand, delaying a home purchase could mean facing even steeper prices in the future. For instance, a house that cost ₹1 crore a year ago is now priced at ₹1.8 crore. The longer the wait, the more unaffordable it becomes, potentially pushing buyers further out of the city as property prices continue to rise, another Redditor posted.
‘IT layoffs may slow down real estate momentum in Bengaluru,’ wrote a Redditor
“For years, IT professionals drove Bengaluru’s housing boom, but that engine is slowing down,” another Reddit user pointed out, highlighting the shifting dynamics of the city’s real estate market.
During Bengaluru’s tech-driven growth, software engineers and IT employees were key contributors to property sales, using high salaries, stock options, and job stability to invest in homes. However, with reports of layoffs, hiring freezes, and an uncertain global economy, many tech professionals are reassessing their financial priorities.
Amid rising layoffs and economic uncertainty, many IT professionals are postponing home purchases, leading to a noticeable slowdown in demand compared to previous years, a Redditor noted.
‘Do not rush to buy homes; consider larger down payments,’ a Redditor’s advice
A Redditor in his 50s advised against rushing into a home purchase, especially in areas heavily centred around workplaces.
“It may be convenient right now, but look beyond when your kids arrive,” the Redditor cautioned, emphasizing the importance of long-term planning.
The user suggested that buyers should think beyond immediate convenience and consider neighbourhoods that offer a balanced lifestyle, ensuring that their investment remains suitable for years.
“Save as much as possible for a larger down payment and keep your EMI to a minimum. Many in their 20s and 30s are benefiting from high salaries driven by the zero-interest rate policy (ZIRP) era of hiring, but there’s no guarantee those earnings—or even their jobs—will be secure five years from now,” the Redditor said.
Additionally, the user suggested considering looking for a pre-owned apartment, as they are often located in well-developed areas with better infrastructure and come at a lower price. “In many cases, resale properties are more affordable than newly launched projects—our own apartment sold for slightly less than a neighbouring one that was still years away from completion.”