If you are looking to invest your hard-earned money and hoping for reasonable returns and long-term benefits, then real estate will be one of your best options. When you sell a car, you may end up selling that less than the price you bought; however, as an investment or own use if in case if you want to sell your house the appreciation will be much better. That’s why real estate investment is a prime choice for investors.
Investing in real estate is more process-oriented when compared to other modes, due to the required paperwork, legalities and due diligence required before signing on the dotted lines. Here are some useful tips to make your real estate investments more profitable:
Homework matters – You need to study the price trends in the area you are interested in investing…. Have they been on the rise over the past few years? How are the price trends as compared to neighbouring areas? Are there important features around this area that increase its value? Is the surrounding infrastructure up to the mark?
Development – Investing in a locality that is brimming with growth and development means that the value of properties in that area will definitely be heading north in the future. Look for signs of development by taking a drive around the area. Do you see good schools, shopping centres, hospitals or other infrastructure being built in this area?
Tax benefits – Normally place with low property and land taxes are more in demand. Do check with the local council office for more information. Aside from getting tax benefits, property ownership is also liable to tax payments, so consider this expense too when looking to invest.
Proximity to city centres or major cities – Areas that are on the outskirts of cities or near major cities are always in demand; this is because these areas will definitely increase in value with time as cities are forever expanding, pulling in more areas into their central folds. Consider these areas for investing in.
Schools – A major factor most families look for is quality schools – and if there are good schools in the area, the value of properties is going to be on the higher side as most education-crazy Indian parents want to live close to good schools. So, high-ranking schools are a good selling point for property buyers.
Renters – Some parts of the city are more favoured by renters than others. When buying property for the purpose of earning a passive income (rent), do check that the said property is in close proximity to schools and job-dense areas where people are likely to want to live.