Magnify Your Real Estate Investment
May 09, 2019 Real Estate News
Real estate in India is the gold mine for investors. Not only the residents but also NRIs can’t look away from the return that real estate in our country gives. But in the last few years, the return on the investment has been less, and for most people, it has been negative. Demonetization, GST, the crackdown on the black money, GST has been the reason for the slowdown on the investment and returns.
Despite this, the experts are in the favour that the potential investors should invest in the real estate to enjoy the benefits. There are a few ways with which one can maximize their investment.
We discuss them below:
The rental income for co-living is dependent on the extent of the furnishing. More the furniture and appliances provided, higher the rental income.
Investment in real estate gives a good return. The market may be in slowdown right now, but it is reviving. Government is making a continuous effort to improve and revive the sector. Sooner rather than later, the investors will be able to enjoy a good return on their investment.
Despite this, the experts are in the favour that the potential investors should invest in the real estate to enjoy the benefits. There are a few ways with which one can maximize their investment.
We discuss them below:
Affordable housing for investment
As compared to mid- segment range or luxury segment, the affordable housing segment yields more returns. According to the data from the real estate listing website the properties priced below 6,000sq/ft have an average rental income of more than 3 percent while for the properties priced over 6,000sq/ft the average rental yield is around 2.4 percent to 3 percent. This trend is observed in mostly all the cities, irrespective whether they are Tier II or Tier I city. Hence, investing in an affordable segment can only provide you with profits.Look for cheaper property market
In every city, some areas are a comparatively smaller market than other localities. Investing in a macro- market can yield you higher rental income. Across pan India, the average rental yield is 3 percent but in macro- markets the rental yield can go as high as 4 percent to 4.5 percent. Taking advantage of the same is a good idea and investing in the macro- the market will not only help with lesser investment amount but will also give you higher returns.Co-living spaces
Co-living option is in high demand across the country. People aged 18- 35 years are always on the look for the co-living options. According to the data, the co-living arrangement yield as much as 8 percent higher rental income. The co-living options are almost fully furnished, while the residential rentals only provide 10 to 30 percent furnished places. This works great for people who are single and are looking for a place to live and share with another person.The rental income for co-living is dependent on the extent of the furnishing. More the furniture and appliances provided, higher the rental income.
Investment in real estate gives a good return. The market may be in slowdown right now, but it is reviving. Government is making a continuous effort to improve and revive the sector. Sooner rather than later, the investors will be able to enjoy a good return on their investment.
