The world has been in a doldrum since December 2019, which only grew to unmatched heights in 2020 as countries opted for nationwide lockdowns, thanks to COVID-19.
In such rickety times, economies collapsed, investments became dreadful for people because nothing was deemed reliable enough. However, the real estate sections were the only investments that flourished in the first quarter of 2021, as the lockdowns were lifted.
NRIs have reportedly invested more in the Indian Real Estate market in FY 21, from $13.1 billion previously to $13.3 billion. This blog will highlight why you should consider investing in the Indian real estate market if you still haven’t. Without further ado, let’s get started.
Why Should NRIs Invest in the Indian Real Estate Market Now?
NRIs somehow want to stay connected to their roots, even if they live in a foreign land; owning some property in the country they belong to makes them feel less homesick and more Indian.
Furthermore, sometimes the reason is simply to have a personal space where you can spend your retired days in your real home. In contrast, some might view it as an estate investment in a developing country like India with a secured boom and surge to multiply their assets.
Another reason behind the rise in the demand of the Indian real estate market is the massive young population. India has the potential to grow and impact. It is no secret to the world, especially not to the Indians living around the world, who take it as an opportunity to return to their homeland.
And the most well-known reason is the Rupee’s rise against the dollar, which only paves the way for NRIs anticipating owning properties in India.
All this combined makes India a suitable option and also the most lucrative one for real estate investments.
Why Investing Is Favourable at the Moment
Several factors explain why now is the prime time for NRIs to invest in Indian real estate. Let’s comprehend them to help you make an informed decision!
Real Estate Regulation Act (RERA)
The RERA has immensely rationalized the Indian real estate sector, as it provides buyers with security and comparatively lesser risk with its sturdy grievance redressal. That is, previous builders were not held responsible for diverted funds and project delays.
However, with RERA, builders are obligated to deposit 70% of a project’s funds into escrow accounts. Furthermore, these funds can only be accessed from time to time with proof of project requirements, preventing any ill-usage. Thus, RERA is a godsend and the best long-term investment alternative for NRIs.
Also Read : RERA Website: Purchasing property made easy
Rise of the Rupee
Since the Rupee is on a constant rise against the dollar, in the coming years, this investment would not only prove cost-effective but mindful too. This is because, as an NRI, you might not have to spend much, but the profit and value of the property you purchase now would only proliferate with time.
Offers and Schemes
The pandemic might be on the verge of doom, but its consequences will affect us for a long time now. And that is why economies are experiencing decadal lows. Home loans are available with an interest rate of just 6.5% on 80% of property value to uplift property investments and bring the enormous influx back to the estate market.
Also, it is much more beneficial to use NRE or non-resident external accounts for your loan applications, as this will keep your exit clauses safe and available if you sell the property in the future. So, yes, it is a win-win!
Price Emendations
Since demonetization and now COVID-induced lockdowns, strategies and global markets have reached an all-time low. The real estate market has started revising its prices to compensate for the pandemic losses and offering negotiations and deals to numerous prospects.
Thus, it is a great time because you get offers and deals never like before. After all, the sellers are open to colloquies.
Wrap Up
There you go! You now know why this is the best time for real estate investments.
Furthermore, a 2019 survey found that 63% of NRIs opt for real estate investment in India over any other sector. This is because estate investments in India are almost always lucrative. Additionally, the price amendments and acts like RERA are the most appealing invitations to NRIs, highlighting the perks of real estate investments in India.
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