Top localities to rent in Bhopal

Bhopal is among the fastest-growing tier-2 cities, which is becoming a preferred real estate destination for many property buyers. The skyrocketing property prices in metro cities, the availability of modern infrastructure, and affordability are among the reasons why property investors are drawn to cities like Bhopal. Moreover, the emergence of IT and educational hubs in the city, along with thriving industries, has led to increased housing demand. New developments are underway in and around Bhopal, including modern residential projects, to meet this growing demand. The city’s residential market has transformed in recent years with the growth of modern housing projects. Prospective tenants are likely to find budget-friendly apartments and premium homes that suit their budgets. In this guide, we list the top localities in Bhopal for renting a house.

Bhopal property market overview 2025

The property market in most metro cities, such as Delhi and Mumbai, has reached saturation, with limited new development. The steady rise in demand has driven property prices higher. This has given rise to affordability concerns among homebuyers. The real activities have shifted to the neighbouring regions or the suburbs. At the same time, cities such as Bhopal have seen tremendous infrastructure development in recent years and are emerging as a favourable destination for property buyers. 

The city is witnessing the development of modern residential areas characterised by high-rise gated community projects. These projects are strategically located with access to social infrastructure, such as schools, healthcare facilities, and banks.

The key driving factors for Bhopal’s rental market growth include:

• Infrastructure expansion: The government is steering numerous efforts to upgrade the city’s infrastructure, including new road network and public transportation. The Bhopal Master Plan 2031 provides a framework for the development of the city’s urban and rural areas. 
• Smart city initiatives: The Bhopal smart city project, undertaken by the government, focuses on the development of new infrastructure, sustainable features and improved e-governance and public services. 
• Economic activities: Thriving industries, including emerging IT sectors, are creating job opportunities. This attracts people to the city, resulting in increased demand for homes. Moreover, the presence of prestigious educational institutions attracts a significant student population.
• Affordability: Buying and renting a property in Bhopal is much affordable compared to buying or renting in a metro city. Supply and demand dynamics influence rental rates in the city.

Affordable localities to rent a property in Bhopal

#1. Hoshangabad Road

The Hoshangabad Road is a well-developed residential and commercial area in Bhopal. It has good connectivity to other parts of the city via arterial roads like NH-45. There are several schools, shopping outlets and medical facilities, ensuring a comfortable lifestyle for the residents. Moreover, bustling industrial areas such as Mandideep Industrial Area and Govindpura Industrial Area are well-connected to the locality. The neighbourhood has many gated housing projects offering premium apartments and lifestyle amenities. 

#2. Ayodhya Bypass Road

Ayodhya Bypass Road is a prominent locality in northeast Bhopal, a corridor linking Vidisha Road and Raisen Road. It is surrounded by residential areas such as ISRO Colony, Mohan Nagar, Rajat Nagar, Rajeev Nagar and Ayodhya Nagar. Social infrastructure and public transport facilities are available.  There are several IT companies and other offices in the vicinity. Moreover, the Raja Bhoj International Airport is 7 km from the area, while the Bhopal Junction Railway Station is 5.5 km away, making it a suitable locality for working professionals and frequent travellers. Independent houses and gated projects with 2 and 3BHK flats and duplexes are available for renting. 

#3. Katara Hills

Katara Hills is a suburban residential neighbourhood in Bhopal. The area is popular for its serene surroundings and fast-developing infrastructure. Situated close to AIIMS Bhopal and other institutions, the area draws several professionals and students. The airport is 27 km away while the Habibganj Railway Station is around 8.5 km away. There are several schools, public transport facilities, healthcare facilities, malls, etc. in the vicinity. Independent houses and flats in 1, 2, and 3BHK sizes, duplexes, and spacious villas are available for rent. 

#4. Kolar Road

Kolar Road is an emerging residential hub in the outskirts of Bhopal, located around 7 km from the Habibganj Railway Station and 20 km from the airport. The area enjoys good connectivity to major parts of the city. Schools, medical facilities and shopping outlets are available. There are a few business hubs and office areas in the vicinity, which attracts several working professionals and families. Colleges such as IIPM, Mansarovar Group of Institution and St Josephs Co-ed School are situated nearby, which make the area ideal for students. Independent houses, villas, 2 and 3BHK homes within gated housing complexes are some rental options available in Kolar Road. 

#5. Bawadiya Kalan

Bawadiya Kalan is a popular locality in southeast Bhopal, witnessing increased demand for homes owing to the presence of nearby IT parks and offices. It is surrounded by other residential localities such as Salaiya, Pallavi Nagar and Danish Nagar. The Habibganj Railway Station is about 6 km away, while the Bhopal Airport is about 22 km away. Physical infrastructure is well-developed. The locality has seen the growth of premium housing projects, attracting many high-end buyers. Independent houses, duplexes, villas and apartments are available for renting. 

#6. Awadhpuri

A fast-developing neighbourhood in southeast Bhopal, Awadhpuri has emerged as a sought-after residential area. Situated 2 km from BHEL, Awadhpuri attracts various working professionals due to nearby employment hubs, such as Phoenix Corporate Park Zone. The area has excellent road connectivity and social amenities, including schools, reputed colleges, malls, and hospitals. The Bhopal Airport is located 23 km from Awadhpuri, while the Habibganj Railway Station is around 6 km away. Independent builder floors, duplexes, and 2- and 3BHK apartments are available for rent. 

#7. Arera Colony

Arera Colony is a posh residential area in South Bhopal, located 18 km from the airport and 2.8 km from the Habibganj Railway Station. The area is known for its picturesque locales and recreational parks. There are reputed schools and colleges, including the popular Maulana Azad National Institute of Technology, located 4 km away. This is the reason the neighbourhood sees a lot of student population. Shopping complexes, healthcare centres, banks, etc., are available for a comfortable living. There are also industrial hubs in the vicinity, making it a suitable area for working professionals. Premium housing options, including 3- and 4BHK independent houses, flats, and penthouses, are available for rent.

Rental rates in Bhopal

Housing.com News Viewpoint

Bhopal’s rental market is seeing steady demand for rental homes, driven by the city’s thriving IT and educational hubs. Moreover, many localities near the airport and railway stations experience consistent demand for rental properties, especially among frequent travellers. Bhopal caters to tenants across categories – affordable and premium. Some areas such as Hoshangabad Road and Arera Colony are witnessing the growth of luxury projects. Before renting a house in Bhopal, prospective tenants should research market trends and select a property that meets their needs. Proximity to workplaces or educational institutions, and the availability of social amenities, should be considered when finalising a rented home.

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