One of the most sought-after investments or assets by Indians is a house of their own. The desire to own a home has been well entrenched in films from the 60s and 70s. For example, in the 2009 blockbuster movie "3 Idiots", protagonist Chatur rattles about his house in the US while the other "idiots" talk about their homes too. Even today, if you live in metros, people will ask you about a home, whether you own or rent one. If you plan to change the status from "rented to own" or want to buy for investments, here are certain things you should keep in mind, as investing in real estate requires huge investments, and small mistakes could lead to a major dent on your financial health.
1. Where? - Property Location
In real estate, location is everything. It is important to pick a location easily accessible to railway stations, metro stations, markets, and schools. The return on investment and rental income of properties with good infrastructure are high. An emerging market with future growth potential is a good alternative for those looking for a long-term investment.
2. Which? - Property Type
There is a choice for investors whether to invest in under-construction projects or completed ones or whether to buy resale properties or new properties. Choosing a completed project will save you from delays and allow you to move in as soon as the deal is sealed. However, the advantage of investing in an under-construction project is that you can buy it at a lower rate than a ready-to-move property and take advantage of numerous tax benefits. It is important to know the type of property you are investing in before deciding.
3. Why? - Purpose of Investment
The type of investment property that is best for you depends on your investment objectives. The best properties for long-term investors are those in developing areas that provide capital appreciation, while the best properties for rental income are those close to basic amenities. When evaluating investment properties, keep your investment goals in mind. By identifying your goals, you can make informed decisions that are aligned with your goals.
4. Who? - The Developer
Choose the right property developer when investing in real estate. Research his past projects to determine whether he delivered the project on time and whether the project was registered under RERA. Checking the developers' credibility is important since you will invest heavily.
Make sure to invest in real estate that provides a good return. When investing in property, it's crucial to pick the right one. Choosing the best investment property requires research and planning.
