2 BHK vs 3 BHK – Which Flats Gives Better Returns in Chennai?

As Chennai continues to grow as a major real estate hub in South India, homebuyers and property investors often face a key dilemma: Should I invest in a 2 BHK or a 3 BHK flats in Chennai? While both options offer their unique advantages, the best choice depends on factors such as return on investment (ROI), rental yield, appreciation potential, target buyer segments, and overall property cost.

In this in-depth blog, we’ll compare 2 BHK and 3 BHK apartments in Chennai from every angle—rental income, resale value, demand trends, holding costs, and ideal locations—to help you make an informed investment decision.

 

1. Chennai Real Estate Trends: 2 BHK vs 3 BHK

In Chennai, 2 BHK apartments continue to dominate the residential market due to their affordability and practicality. According to real estate data portals and industry reports:

• 2 BHKs account for over 60% of new bookings in Chennai.
  
  
• 3 BHKs are gaining traction among larger families, NRIs, and premium buyers seeking more space.
  
  
• In localities like Virugambakkam, Maduravoyal, Saligramam, and Anna Nagar, the demand is almost evenly split but skews towards 2 BHKs for investment and 3 BHKs for self-use.
  
  

Market Snapshot:

BHK Type	Buyer Segment	Demand Level	Average Size (sq.ft.)	Starting Price
2 BHK	Nuclear families, investors	High	850–1100 sq.ft.	₹55L–₹90L
3 BHK	Large families, NRIs, upgraders	Moderate	1200–1600 sq.ft.	₹85L–₹1.5 Cr

 

2. Price Difference: Cost of Buying 2 BHK vs 3 BHK in Chennai

The price gap between 2 BHK and 3 BHK units varies widely based on location and builder.

• In Saligramam or Anna Nagar, the cost jump can be ₹30–40 lakhs for a 3 BHK.
  
  
• In Maduravoyal or Mogappair, the price difference may be ₹15–20 lakhs.
  
  

Sample Price Range (2025):

Locality	2 BHK Starting Price	3 BHK Starting Price
Anna Nagar West	₹95 Lakhs	₹1.4 Crores
Saligramam	₹85 Lakhs	₹1.25 Crores
Madipakkam	₹65 Lakhs	₹95 Lakhs
Virugambakkam	₹70 Lakhs	₹1.05 Crores

 

3. Rental Yield: Which One Generates More Monthly Income?

If rental income is your priority, you must consider monthly rent vs. property cost.

• A 2 BHK in Virugambakkam may rent for ₹18,000–₹22,000 and cost ₹75–85L.
  
  
• A 3 BHK in the same locality may rent for ₹28,000–₹35,000 but cost over ₹1.1 Cr.
  
  

Rental Yield Comparison:

BHK Type	Avg. Rent/Month	Avg. Investment	Gross Rental Yield
2 BHK	₹20,000	₹80 Lakhs	3.0%
3 BHK	₹30,000	₹1.25 Cr	2.88%

📝 Conclusion: 2 BHKs generally offer better rental yield, making them a better option for pure rental income investors.

 

4. Appreciation Potential: Which Flat Type Gains Value Faster?

Real estate appreciation is influenced by:

• Local infrastructure development
  
  
• Metro & road connectivity
  
  
• Builder reputation
  
  
• Buyer demand shift
  
  

While both 2 and 3 BHKs appreciate steadily, 2 BHKs in developing locations like Maduravoyal or Poonamallee often see faster growth due to high turnover and mid-income affordability.

Case Study:

• A 2 BHK bought for ₹60L in 2020 in Porur may be worth ₹82L in 2025.
  
  
• A 3 BHK bought for ₹1 Cr in the same project may now be worth ₹1.25 Cr.
  
  

This shows similar annual growth rates (~6%–7%), but absolute appreciation is higher in 3 BHKs, while percentage growth is stronger in 2 BHKs.

 

5. Buyer Segments: Who Prefers What?

2 BHK:

• Working couples
  
  
• First-time homebuyers
  
  
• Young families
  
  
• Senior citizens
  
  
• Investors
  
  

3 BHK:

• Larger families with kids or parents
  
  
• NRIs
  
  
• HNI investors
  
  
• Buyers seeking more work-from-home space
  
  

Target segment helps decide liquidity—how easily a unit can be sold or rented.

2 BHKs have a wider buyer base, hence better resale chances.

 

6. Maintenance Cost, Property Tax & Other Expenses

3 BHKs are bigger and attract higher costs:

Cost Component	2 BHK	3 BHK
Monthly Maintenance	₹2,000–₹3,500	₹3,500–₹5,000
Property Tax	₹6,000–₹9,000/year	₹10,000–₹15,000/year
Interiors/Furnishing	₹4–6 Lakhs	₹7–10 Lakhs

Over 5 years, a 3 BHK will cost ₹3–4 lakhs more to maintain.

 

7. Amenities, Floor Plan & Usability

Builders usually offer better views, balconies, and master bedrooms in 3 BHKs, making them more lifestyle-oriented.

However:

• 2 BHKs often have efficient layouts with minimal space wastage.
  
  
• Some premium builders are now offering smart 2.5 BHKs, which balance cost and space.
  
  

Key Insight: If well-designed, 2 BHKs can feel as functional as a basic 3 BHK.

 

8. Resale Value & Liquidity: Which Sells Faster?

Resale success depends on:

• Age of building
  
  
• Maintenance quality
  
  
• Location
  
  
• Market demand
  
  

✅ 2 BHKs resell faster in Chennai, especially under ₹90L range.

🧭 In high-end zones like ECR or Adyar, 3 BHKs find quicker buyers due to lifestyle aspirations.

 

9. Investment Goals: Which One Is Right for You?

Goal	Better Option	Reason
Long-term rental income	2 BHK	Lower investment, steady yield
Future family use	3 BHK	More space and flexibility
Quick resale within 5 yrs	2 BHK	Higher market liquidity
NRI property investment	3 BHK	Prestige & bigger ticket value
Retirement investment	2 BHK	Low maintenance, compact living

 

10. Best Locations in Chennai for 2 BHK vs 3 BHK Investment

🔹 Top Localities for 2 BHK Investment:

• Madipakkam – Affordable, metro access
  
  
• Virugambakkam – High rental demand
  
  
• Poonamallee – Future growth zone
  
  
• Kolathur – Budget-friendly and livable
  
  

🔸 Top Localities for 3 BHK Investment:

• Anna Nagar West – Premium living
  
  
• Saligramam – Central & peaceful
  
  
• Mogappair – Spacious gated projects
  
  
• Velachery – IT hub + family-friendly
  
  

 

Summary Table: 2 BHK vs 3 BHK in Chennai

Criteria	2 BHK	3 BHK
Buyer Demand	Higher	Moderate
Affordability	✅✅✅	✅✅
Rental Yield	3.0–3.5%	2.5–2.9%
Maintenance Cost	Low	High
Appreciation Potential	High (in %)	Moderate (in ₹)
Resale Liquidity	High	Medium
Interior Cost	Lower	Higher
Ideal Buyer	Investor/First-time	NRI/Large Family

 

Final Verdict: Which Flat Type Gives Better Returns in Chennai?

If your goal is higher rental yield, easy resale, and low entry cost, a 2 BHK is your best bet.

If you’re aiming for prestige, long-term capital gains, or plan to live with family, a 3 BHK offers more comfort and higher absolute appreciation.

🎯 Smart Investor Tip: In emerging areas like Poonamallee or Maduravoyal, a spacious 2 BHK in a branded project often gives better returns than a cramped 3 BHK in the same budget.

 

Ready to Invest in Chennai Real Estate?

Whether you’re eyeing a 2 BHK or 3 BHK, always:

• Choose RERA-registered projects
  
  
• Verify builder credentials
  
  
• Compare location prospects
  
  
• Review UDS and carpet area
  
  
• Understand total cost beyond brochure price
  
  

For more guidance or to explore ongoing premium projects, connect with trusted developers like Traventure Homes, offering DTCP-approved flats in top Chennai localities.