Following agriculture, it is the
real estate sector of India that is considered as the source of employment in
the country. India has seen a number of ups and downs but due to its economic
stability, it has become a favored destination in terms of real estate
investment. Apart from this, healthy economy-changing demographics, optimistic
stock markets, worldwide entrepreneurialism and the overall appearance of India
on the global stage are a few factors to name that have made India grow with a
faster pace.
Opportunities for Investors in Indian Real Estate Market
Whether it is the residential
sector or the commercial; the demand for Indian properties is touching the sky
limit. As a result, the real estate India sector has got a
wonderful chance to flourish and set up their strong footage in the country. A
large number of real estate projects have been launched in India to meet the
increasing property demands. And if you really think that it is only the rich
community getting benefited with the real estate business in India then you are
wrong. The Indian real estate is offering a large number of opportunities for
small investors as well. The only thing that matters is a right decision at the
right time!
There is no doubt that in India,
in comparison to the institutional and other major investors; small real estate
investors are not offered with much opportunities and scope. Reason behind this
is that no matter how many properties they hold, at one point of time, the
banks stop funding them; probably beyond a second home loan. In such times,
they can surely invest from their personal accruals or can use the option of
investing in rent-generating assets but then they can expect decent returns
only if they make a decision wisely.
Factors that Make Real Estate Investment Ideal for Long Term Profits
There might be certain
limitations in life but a real estate India investment is
known to be quite protective. It has the potential of supporting the buyer to
fight inflation or any other kind of economic slowdown. Small investors
generally prefer investing in gold. However, gold and real estate go hand in
hand in terms of their intrinsic value but then with real estate investment
there is the possibility of earning rental income which is not there in case of
gold. Also, a judicious property investment increases the possibility of
capital appreciation. Therefore in every term; a real estate India
investment proves to be beneficial for small as well large investors.
Primary Factors for Small Investors to Consider
Now let’s have a look at some
primary factors that small investors should consider before purchasing a
property:
Legal non-
impediment of the property
Presence of
current and future market drivers in the locality
Duration of
holding capacity
Financial
ability
Personal
investment objectives
While making an investment in Real
estate India, an important point to remember is to determine the
correct entry point. Most of the people wait for property prices to fall but
they are unaware of the fact that waiting for too long would never bring them
profit. They may lose out on the finest properties and deals by waiting for too
long. Property prices keep varying and predicting the point of lowest ebb tide
in the real estate market is not easy.
Another important point to ponder
upon is the selection and preference about purchase. There has to be a focus
upon what actually is required. Therefore, individual property investors should
remain alert while selecting a property to invest. Their decision should be in
accordance with the best available option and the location of their choice.