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Is Real estate in India a profitable investment

Once, billionaire Andrew Carnegie said that as much as 90 per cent of the millionaires got rich by making investments in real estate. And with time, we all have realised that this is true if one develops the catalyst mind to make the best of the opportunities. You need to have an eye for detailing that understands the ups and downs of the market and can help you in making the right choices.

If we look at the economy, the times are tough, but real estate experts opine that 2020 will witness the most traction for the real estate sector and only the financially stronger players will be able to stay in the game. Amidst all this, the query of the common man is- Is it the right time for property investment in India?

According to experts, real estate investment in the present time needs a different strategic approach than purchasing a property for personal use. You buy property to make a profit out of it when you choose real estate as an investment strategy. The investor rents out the property or resells it at a higher cost in most of the cases. Considering both kinds of interests, this blog presents an analytical detail of the real estate market that will clarify your doubts.

Scope for demand

Real estate in India has boomed in the last twenty years, with migration as the core idea behind job search in bigger cities. It is likely to grow in the near future as well. Buyers are ready to invest in small apartments with a dual purpose- to live and to do investment. Therefore, you can see that the demand is growing rapidly, and is likely to rise till 2025. Scope for demand makes property investment in India a profitable business with many players. The ratio of defaulters is high. Thus, genuine players can make a better scope in the market and attract customers with timely delivery of projects.

Learn the gap between owning and renting

There are two categories of buyers. First, those who are end-users of property, and second, those who invest to earn rent or resale the property for the generation of revenue and multiply money. Invest only after completely understanding and analysing your purpose. Look for properties built with facilities if you are buying a property to live in, whereas you might look for cheaper ones if you are purchasing for renting purposes. This way, you will be able to maximize profit in near future.

Invest in the right technology

Including real estate, technology has occupied every space. Activities like rent collection, communications between the landlord and the tenants are made easy to follow with the advanced technology. Thus, you should invest in the right technology in order to gain maximum benefits. For example, for managing the property better, you can use landlord software. It will save your time and money and helps you focus the resources on other aspects of the property.

Road ahead

With a view to encouraging development in the real estate sector, the Indian government is taking a number of radical initiatives. For instance, the Smart City Project that includes building 100 smart cities is a major opportunity for real estate developers in India. Moreover, the Real Estate Investment Trust (REIT) platform is approved by the Securities and Exchange Board of India (SEBI) that will facilitate investment in the real estate market in the country from all kinds of investors.

 Founded in 1987, Omaxe is one of the Top real estate developers in India with a total of 118.61 million square feet of delivered space in real estate and construction contracting. For the last 32 years, it is continuing to deliver excellent quality and real estate spaces along with guaranteeing customer satisfaction and redefining lifestyle. Contact Omaxe Group if you are considering property investment in India.