Real Estate is Not as Easy as the game Monopoly…
Ever played the game Monopoly?
We all have. Buying and selling seemed to be so easy back then. Now we know better. Investing in the real estate for real is a big decision and it is not wise to go in blindfolded. We all know that it is the best investment for a long term but may be nothing more than that. For a newbie, here are the things that he needs to know to gain right kind of returns from investment in the real estate.
1. Why Real Estate?
There are two famous believes about the real estate. The majority of affluent people invested in the real estate at the correct time to reach where they are today. And the second belief is that the landlords earn in their sleep. You just need to buy the right property and then wait for the right time to sell when the market is at the boom. It is easier to buy a property these days on loan. The interest rates are supposed to come down, the prices have already surfaced and appreciation is going to be great with the ‘housing for all’, demonetization and RERA act.
2. How longer?
Investment in real estate has to be at least 3 years longer for good returns. Buying a property is quite a task. One need to save for the downpayment, then apply for the home loan, manage the monthly EMIs. If someone is going through all these troubles to buy a property, it is wise to wait out till appropriate appreciation. If the property is not for self-possession, home management companies can keep up the maintenance for the time being.
3. Types of Real Estate Investments
The first aim of investing in the real estate is for self-possession. If someone is buying a second home, it can be used as a holiday destination, retirement home, or for renting purposes. One should never stop after buying one home given the significant amount of savings. For less money in hand, going for plots is a good idea while the apartment is a better option to rent out.
4. The returns over other investments
The return on the investment is fairly positive in case of real estate. There are other investment sources too like gold or stocks but real estate performs better. As compared to gold, the appreciation is better in the long term. While the stocks may give better returns, it is very complicated to understand all the terms of investment. Moreover, the stock market and gold market are the fluctuating ones; one can never be assured of positive returns. While the price of the land always rises. Read more to invest in buying the correct assets.
5. What Indian Real Estate has to offer
India is the best place to live as well as for investment purposes. The Indian real estate is becoming more transparent and regulated. The tax structure is going to be simplified too. It becomes easier to gather all the knowledge about the project and the track record of the builder. One can make a savvy investment and if it does not turn out as great as expected, the buyer can sue the builders for delays and the substandard construction. The law ensures resolving the problem as quickly as possible. The demands for the affordable housing is rising and the slow phase is supposed to end. The price correction also offers a great opportunity to invest right now in Indian real estate.
Online property sites are the best way today to connect to the right seller easily. They offer free browsing and help throughout the purchase procedure. Do not show haste in buying, think it through before opening your pocket to the real estate.