Investment in Real Estates is a booming global opportunity whose demand is alarmingly high. With the rising population and economic growth around the world, Real Estates inevitably become a sensitive investment opportunity and investors are promptly plugging their resources deep in it. In India, things are no different. It has admirably attracted the local investors’ attention as well as Non-Resident Indians (NRIs). The investors are venturing in numbers, both young and the aging.
The big question remains, why are tycoons in the recent past so promptly and voluntarily willing to transform into property owners without even a second thought? Below are five reasons why they have done so and why every investor should venture in Real Estates in India;
- Favorable government policies – The new real estate regulatory bill that was passed into law has by far encouraged potential investors into this field of investment. It protects the buyer from manipulation by sellers while acquiring property by ensuring they buy the property at reasonable terms and prices. This enables potential investors to join the market with no fear of risk involvement. The government has also imposed tax exceptions on housing loans as well as their accruing interests. These factors are encouraging new investors to embrace the opportunity each day.
- Steady economic growth – India, as well as most of the world, is experiencing robust economic growth. This automatically causes a predictably high appreciation rate for properties as well as land. Real Estates, being a venture that covers these aspects, automatically becomes an ultimate opportunity worth the millions lying idle in banks. The fact that the opportunity is risk-free and there is guarantee that the acquired property will appreciate, makes it a top priority for potential investors.
- Increasing demand for housing – Urbanization is a major planet-wide economic concern, and so it is for India. With the increasing members of the middle-class white-collar workers, the need for housing is inevitable. These people need housing facilities at convenient places. It is hence a profitable business opportunity with a guaranteed long-term steady income, for an investor who resolves to intercept the ever-rising demand for housing in various areas.
- It is a solution to the global need for reliable business opportunities – In the recent past, investment has become a paradoxical quandary area just because the security of virtually any opportunity is compromised and guarantee of returns in any venture is not available anymore. This has mainly been caused by the high risks facing any opportunity and the escalating level of competition in all industries. Real Estates are a comprehensive solution to these drawbacks for two primary reasons; appreciation is always 100% guaranteed for any property acquired, and the venture is almost risk-free. The guarantee on profit if the right channel is followed when acquiring property is what makes Real Estate a risk-free venture.
- It is a reliable long-term investment – Real Estate investment is a long-term income source in two ways; one is by acquiring property and leasing or renting it out to other parties. Alternatively, it becomes a passive income source through acquiring property and leaving it to appreciate, where it will later be sold at a higher price, depending on the time allowed and the economic improvement of the area where it location. It can appreciate doubling its cost of acquisition or more in less than a decade if research is appropriately done before purchase.
The magnitude of returns on investment in Real Estates is quite impressive, considering the rate at which the value of everything else including money is significantly dropping. That makes it the number one investment opportunity for every potential investor, whether local or non-Indian residents.