Investing in Real Estate in India

See any newspaper or online article and it will talk about the real estate development in India today! Thanks to multitude of small and big construction projects across the country, India has awakened to real estate growth. In fact, according to government agencies, the real estate growth (malls, commercial complexes, multiplexes, townships, other commercial complexes and residential properties) has attracted a consolidated foreign direct investment of around US $ 1048 million in the financial year of 2010-2011.

With every consecutive year, India is showing growth and development across tier 2 and tier 3 cities. Cities like Mumbai, Delhi, and Bangalore etc have witnessed stupendous growth and a rise in real estate prices for nearly a decade now! The reason why foreigners want to invest in Indian realty market is because of the fact that investment is less and return on that investment over a period of time is manifold. This is mainly because India is a developing economy and ROI will thus be positive in terms of real estate development.

Real estate is growing so fast in India because of other reasons also. Industries and sectors like IT and ITES, construction, software, medicine, education sector etc are growing at a very fast rate. When such industries grow, job environment is better, spending power is more, lifestyle improves and influx of population also increases. All these factors put together act as a stimulus for real estate growth – both commercial and residential. There are few other strong stimuli like:

India is a country of over a billion people and the economy is developing. Hence real estate is growing too
Foreigners like the fact that India is a culturally diverse country and is open to FDI. Coupled with the fact that everyone knows English language, communication plays a very important factor in driving FDI
Indian government is comparatively more stable that other countries government

All these factors coupled together, make Indian real estate a great industry to flourish and thrive. Its growth is dependent on other industries and the growth of people also. Hence an overall development is imperative.


Writer: Ravi Chauhan is a Real Estate Broker in Delhi and he loves to explore the sites like Lotus Greens  and Lotus Square Noida to polish his experience and skills. He makes wise decisions and serves his clients to provide maximum profit in real estate industry.

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