Why You Should Invest in Property in A Growing Market
Feb 21, 2017 Real Estate News
Investors consider real estate as one of the best areas for investing their hard earned money. For starters, real estate investment does bring hefty returns over a period of time and in many cases, the returns are so huge that it can be termed as a lifetime fortune for the investor. In India, long term property investments have increased off late as compared to the short term property transactions. Investors have been purchasing properties at much cheaper rates initially and then selling them once its prices increase by a considerable amount.
An investment horizon of at least 5 years is common in such cases.
Speculation plays a very significant part in property investments. You don’t want to buy property in a location that is deprived of any kind of development for several years. Hence, it is important to speculate infrastructural growth of the area before buying any property. Investors tend to invest in properties in a developing zone rather than the already developed one. The reason for this is that the already developed zones don’t have the potential to get a price hike as compared to the developing ones. Investments done in the growing areas prove to be good over a period of time providing hefty returns once the property is sold.
The already developed areas are less likely to attract investments because, after a certain time, such areas lead to a point of saturation. One cannot further expect development in such areas. Hence, the property rates do not increase after a certain point of time leading to losses to the investors. In contrast, investors look for areas that are yet to witness growth invest their funds.
There are several areas around the biggest metros such as Delhi, Pune that are witnessing high growth infrastructure wise. The local corporations in place have sanctioned several development projects in these areas such construction of play grounds, shopping malls, multi-speciality hospitals, multiplexes etc. Such Hot property markets will witness exceptional growth over a couple of years leading to high property rates. So investments made in these Hot property markets prove beneficial for the investors providing high returns.
Areas in the outskirts of Pune such as Chakan have considerably grown since the last two to three years. The property rates in Chakan have increased considerably, so the investors who had purchased properties in Chakan two to three years ago are set to benefit from these price hikes.
If you are planning to invest in property, always look out for areas which are witnessing higher industrial growth. The entry of industries will commercialise the whole area paving for several business opportunities. It will also attract more jobs in the area thereby increasing the value of your property.
An investment horizon of at least 5 years is common in such cases.
Speculation plays a very significant part in property investments. You don’t want to buy property in a location that is deprived of any kind of development for several years. Hence, it is important to speculate infrastructural growth of the area before buying any property. Investors tend to invest in properties in a developing zone rather than the already developed one. The reason for this is that the already developed zones don’t have the potential to get a price hike as compared to the developing ones. Investments done in the growing areas prove to be good over a period of time providing hefty returns once the property is sold.
The already developed areas are less likely to attract investments because, after a certain time, such areas lead to a point of saturation. One cannot further expect development in such areas. Hence, the property rates do not increase after a certain point of time leading to losses to the investors. In contrast, investors look for areas that are yet to witness growth invest their funds.
There are several areas around the biggest metros such as Delhi, Pune that are witnessing high growth infrastructure wise. The local corporations in place have sanctioned several development projects in these areas such construction of play grounds, shopping malls, multi-speciality hospitals, multiplexes etc. Such Hot property markets will witness exceptional growth over a couple of years leading to high property rates. So investments made in these Hot property markets prove beneficial for the investors providing high returns.
Areas in the outskirts of Pune such as Chakan have considerably grown since the last two to three years. The property rates in Chakan have increased considerably, so the investors who had purchased properties in Chakan two to three years ago are set to benefit from these price hikes.
If you are planning to invest in property, always look out for areas which are witnessing higher industrial growth. The entry of industries will commercialise the whole area paving for several business opportunities. It will also attract more jobs in the area thereby increasing the value of your property.
