Rs 23 lakh deposit for Bengaluru rental home sparks comparison with New York, Dubai as Canadian man calls landlords 'greediest'

As rental prices continue to rise in Indian metros, Bengaluru has once again come under fire for what many are calling an increasingly unaffordable and unregulated housing market. The city’s rental norms, especially the steep security deposits demanded by landlords, have drawn sharp criticism. The latest controversy erupted after a Canadian digital creator highlighted a property listing in Bengaluru that required a Rs 23 lakh deposit for a fully furnished independent 4BHK rental house in Bennigana Halli, sparking a wave of online backlash.

The monthly rent for the 4,500-square-foot house was listed at Rs 2.3 lakh. But what stood out most was the massive upfront security deposit, which far exceeds what is typically required in major global cities. Sharing a screenshot of the listing on X (formerly Twitter), Canadian content creator Caleb Friesen questioned the rationale behind such exorbitant demands, calling Bengaluru landlords “the greediest in the world.”

Global Comparison Sparks Debate

Friesen’s post included comparisons with security deposit norms in other cities: one month in New York and Toronto, one month per year of lease in Singapore, two months in San Francisco, 5–10% of annual rent in Dubai, and 5–6 weeks in London. He argued that the Rs 23 lakh demand in Bengaluru is disproportionate, even when compared to some of the world’s most expensive housing markets.


This isn’t the first time Friesen has criticized Bengaluru’s rental practices. Just weeks earlier, he posted about another listing in Domlur’s Diamond District, where a 3BHK apartment with a monthly rent of Rs 1.75 lakh required a security deposit of Rs 19.25 lakh. He noted humorously that the deposit could nearly fund a new Mahindra Thar.

X users weigh in on ‘distorted market’

The post triggered a wave of responses on social media. While many users shared Friesen’s shock, others pointed out that such demands are not unheard of in Bengaluru’s premium housing segment. Several commenters suggested that the typical deposit ranges between five to six months' rent, attributing the higher figures to a combination of low trust between landlords and tenants, and the absence of strong rental regulations.

One user remarked that landlords often make arbitrary deductions at the end of lease terms, reducing the amount returned to tenants. Others criticized the government for imposing price controls on non-essential areas like movie tickets while allowing rental housing costs to spiral unchecked.

Some users suggested that tenants themselves were to blame for enabling such practices by agreeing to steep terms without negotiation. “A few people really paid what landlords asked, and now the market is messed up,” wrote one user.

High Deposits Seen As Risk Mitigation

Among those defending landlords, some argued that high deposits serve as protection against potential losses due to damage, non-payment, or tenants absconding with furnished items. One X user explained that large advances are often seen as a safeguard in a market with limited legal recourse for property owners.

According to Moneycontrol , data from Magicbricks shows that Bengaluru recorded the highest rental growth among Indian metros in the first quarter of 2025, with a 15.7% increase compared to the previous quarter. Experts suggest the surge is being driven by renewed demand in tech hubs as hybrid work models take hold and professionals return to city centers.

Vishal Raheja, founder and MD of InvestoXpert, told Moneycontrol that the shift is part of a broader transformation in India’s rental housing market. He attributed the spike in Bengaluru’s rents to rapid job creation in technology and innovation clusters, which is outpacing available housing supply.