Pune city is witnessing an alarming surge in rental costs, leaving students and professionals grappling with financial burdens. With a significant population migrating to the city for better educational and career opportunities, the demand for rental properties has outstripped supply, triggering an upward spiral in prices.

Aman Patole, an MPSC student, speaking to FPJ, said, "Approximately 2 lakh students are here in Pune for the preparation of government services or other exams. Due to high rent, we have been managing by sharing at least four students in a single room that costs around 12-15 thousand. And every year, it increases by 2 or 3 thousand, depending upon the owner's wishes. Being students, we cannot stay outside the city due to our coaching classes. However, increasing the rent every year is a serious concern for students."

Here's what brokers said

Azim Shaikh, a broker for Market Yard and Bibwewadi areas, expressed, "The main reasons for the increasing rental costs are demand and supply. Two years ago, in the Market Yard area, people could purchase a 1 BHK flat for ₹20-25 lakh, but now it costs around ₹65-70 lakh. The rent for a 1 BHK was around ₹12-15 thousand last year, which has increased to ₹18-20 thousand. As development is gearing up in the city and new companies are being set up, the number of employees is also increasing, which creates higher demand, and owners do not hesitate to raise the rent."

Sandesh Borade, a broker in Kondhwa Budruk, speaking to FPJ, said, "Properties in the city are limited, and there are restrictions from the civic body on increasing the height of buildings. Most tenants demand a good place to stay, preferably closer to their workplace, and with access to basic necessities like water, electricity, roads, and more."

Abhijit Madan, a software engineer working at Eclerx, an IT company in Hinjewadi, expressed, "Rents in the Hinjewadi area are at a peak due to IT companies and modern infrastructure. For a 2 BHK, the rent has increased from 30,000 to 40,000 over the last 2 years."