A 3 Bedroom Apartment/Individual house just a few minutes walk away from the city centre would cost no more than US$750 The farther the cheaper and of course with lot of sattelite towns coming in and around bangalore , you can find enough westernised living zones.
As Rsoman mentioned , Bangalore has the best climate compared to Hyderabad Chennai Delhi or Mumbai (If you prefer dry and warm places) but lot of pollutants floating in the air children might catch cold/cough often.
The modern and funky bangalore is only a 3 mile stretch beyond which the city reveals its not-so-modern south indian roots. Traffic jams , potholes slums and slush can be seen almost everywhere.
Jobwise... The new airport is coming up 35 kms away from the city and there is no high speed rail or highway anywhere on the horizon and the real estate rates in the nearest inhabitable area is rocketing towars mars. So plan for a 2-3 hr commute to airport for a 25 min flight if you live IN bangalore.
As for living there are enough malls , pubs and discos around here (Not as much as Mumbai though) but the night life halts at 11:30 PM (9:30 in chennai) unless of course you party in any of the many 5 Star hotels where they have permission to stay open 24X7
Haree