Buying a home is not just a financial commitment but is a way in which you begin building your wealth. A home is a source of emotional investment. It is your personal space wherein you build memories with your family, your loved ones. It is an asset that you will pass on to your future generations and therefore will be a source of pride for them. The real estate sector in India is the second highest employment generator after the agricultural sector. It is also expected that this sector will incur more non-resident Indian (NRI) investment, both in the short term and the long term. Real estate sector in India is expected to reach a market size of US$ 1 trillion by 2030 from US$ 120 billion in 2017 and contribute 13% to the country’s GDP by 2025. Retail, hospitality, and commercial real estate are all growing significantly, providing the much-needed infrastructure for India’s growing needs.
The post pandemic scenario has been a positive one for the real estate market in India. The Indian real estate sector has witnessed high growth in recent times with rise in demand for office as well as residential spaces. Government initiatives, favourable schemes by real estate developers in India, reduced loan rates are some of the major factors contributing towards an improved consumer behaviour as far as the real estate market is concerned. The rise in demand is experienced across all the sectors from retail to commercial to residential.
The residential sector is expected to grow significantly, with the central government aiming to build 20 million affordable houses in urban areas across the country by 2022, under the ambitious Pradhan Mantri Awas Yojana (PMAY) scheme of the Union Ministry of Housing and Urban Affairs. Expected growth in the number of housing units in urban areas will increase the demand for commercial and retail office space. With so many lucrative options at hand, this seems to be the perfect time for investing in homes.
India is a country which is a home to some of the best known real estate developers in the world. These developers and buildersare constantly working towards building some of the best residential and commercial spaces across the country. In the post pandemic landscape, these builders and developersare coming up with exciting offers that will motivate home buyers to invest in homes.
Most of us might constantly have this question running across our minds-Is Investing in homes a good option? While each one would come up with their own reasons, here are a few points that clearly indicate why investment in homes are worthful!
Also you can go with an idea of WHY IS REAL ESTATE INVESTMENT SO IMPORTANT ?
When compared to alternative forms of housing – such as renting – buying a home is typically a much better investment because it allows you to build equity. When you rent, all you do is pay someone else’s mortgage. If this is where you intend to live for at least three to five years, it makes more sense than leasing in many markets. Buying a home can have tax benefits such as deductions and even tax credits.
Purchasing a home helps you build wealth because your home’s value is most likely to increase with time, which in turn increases your wealth. Home values are comparatively less volatile than the stock market and generally show an overall upward trend throughout recent history. Real estate sector appreciates naturally on an average, between 3% and 5% each year, without you doing anything other than preserving the house. Additionally, owning a home can bring long–term social benefits to homeowners, including nurtured friendships with neighbours.
Alternatively, when you are purchasing a home and renting it out, you are actually running a business and are the landlord of it. You can generate monthly income, which boosts the profits from owning a house investment, because you are relying not only on appreciation but also on monthly rental income.
It may sound stressful to acquire or invest in real estates, find great occupants and manage the property, but there are numerous resources available to assist you. There are a variety of options available for investment. However, 2020 has clearly shown us that everything may change in the blink of an eye. You had a large investment one minute, and then you’ve lost it all the next. When you invest in real estate for the long term, you have an asset that grows in value. Housing may go through a lot of troubles, losing some value along the way, but if you hang on to it long enough, it usually recovers. Many people buy real estate as a way to enhance their retirement income. You will benefit from the monthly rental revenue flow, even if you sell the property you’ve owned for many years after a while. If you want to build a legacy but don’t think going cash is a good idea, passing down real estate may be a better option. You will not only be leaving your heirs an income-producing asset, but also an appreciating asset. So, they can either maintain the estate and continue the legacy, or they can trade it and benefit.
Investing in a home could therefore be one of the smartest decisions you have ever made! Go with our blog which shows that REAL ESTATE THE SAFEST INVESTMENT OF ALL TIMES!