Gurugram’s rental market is experiencing robust demand, but a significant gap between what renters seek and what’s available is emerging, according to recent data. Even as demand is concentrated in the more affordable segments, the supply of rental properties is skewed towards higher price points, creating a challenge for those seeking budget-friendly housing in the Millennium City.
The dynamics of Gurugram’s rental landscape are increasingly shaped by affordability. Approximately 44 percent of rental inquiries are for properties in the ₹10,000 to ₹20,000 per month range, indicating a strong preference for reasonably priced accommodation. Yet, the available supply doesn’t align with this demand. Data reveals that 36 percent of rental listings are priced between ₹50,000 and ₹1 lakh per month, highlighting a mismatch that could constrain market growth and impact housing accessibility.
Demand Concentrated in Affordable Ranges
The concentration of demand in the lower rental brackets suggests a significant segment of the population – including students, young professionals and those new to the city – are prioritizing cost-effectiveness. This demand is likely fueled by Gurugram’s status as a major employment hub, attracting a steady influx of people seeking job opportunities. The city’s proximity to Delhi also contributes to the demand, as individuals may opt for more affordable housing in Gurugram while commuting to the capital for work. Understanding these rental trends is crucial for investors and policymakers alike, as they navigate the evolving real estate market.
Supply Skews Towards Premium Properties
The disproportionate supply of higher-priced rentals points to a trend of developers focusing on premium housing options. This could be driven by higher potential returns on investment in the luxury segment, or a perception that demand for high-conclude properties will continue to grow. However, the current data suggests this strategy may not fully align with the broader market needs. The imbalance between supply and demand in different price segments could lead to longer vacancy rates for higher-priced properties, while intensifying competition for affordable rentals. According to Magicbricks, a 3BHK flat in areas like DLF Phase 1–5 and Cyber City can range from ₹40,000 to ₹70,000+ per month as of September 2025.
Broader Cost of Living Considerations
Rental costs are just one component of the overall cost of living in Gurugram. Other significant expenses include utilities, groceries, transportation, and education. 99acres.com estimates that utilities can range from ₹4,000 to ₹6,000 per month, while groceries can cost between ₹8,000 and ₹12,000. Transportation expenses are estimated at ₹4,000 to ₹6,000 monthly. For families with children, education costs can be substantial, ranging from ₹20,000 to ₹50,000 per month depending on the school. These factors collectively contribute to the high cost of living in Gurugram, impacting affordability for many residents.
The cost of living in Gurugram is also influenced by lifestyle choices. Dining out and entertainment can add significantly to monthly expenses, with estimates ranging from ₹15,000 to ₹20,000, as noted by 99acres.com.
What to Expect Next
The Gurugram rental market is likely to remain dynamic in the coming months, with affordability continuing to be a key driver. Monitoring the interplay between demand and supply across different price segments will be crucial for understanding future trends. Further development of affordable housing options could help address the current imbalance and improve accessibility for a wider range of residents. The impact of economic growth and employment trends in Gurugram will also play a significant role in shaping the rental market’s trajectory.
What are your thoughts on the Gurugram rental market? Share your experiences and insights in the comments below.