Don’t leave dreams to chance.
Owning a home is a dream for many. However, to make them come true, it takes a lot out of you — time, money, patience to name a few. And despite doing the hard yards, there is no guarantee that you end up buying what you set out for. So, the million dollar question is — do you want to leave your dream, built on your hard-earned money, to chance? If no, then you’re reading the right piece ‘How to invest with confidence?’
Real estate: an underestimated investment option.
Today’s investment portfolio comes in various well-packaged options such as stocks, gold, bonds, government schemes and so on. As lucrative they’re made to seem, real estate is still an (underestimated) investment choice that may provide healthy gains — thanks to its sharp boom, and a steady rise in average incomes.
However, one needs a little guidance to understand real estate investments in detail. Fret not, it’s not rocket science, but a list of points you need to keep in mind.
- Patience is the key to your home: The builders/property dealers promise overnight completion of formalities, but you may end with a home below your expectations, or sell your space well below the market rates.
- Research your search: Be thorough about the builder’s history, the locality of the project, the amenities included and so on. These factors will impact your returns in the future.
- Scan the papers clearly: Make sure the property papers are checked by legal experts, as scams are highly prevalent today. Failing to do so can lead to court cases and litigations. Also be wary of sellers offering the property well below the market rate, as they could be duping you.
- Know your market rates: Beware of paying more for a property than its deserved value. Learn about the current market rates, and multiply it with the scope for development, to estimate the potential returns in the future.
- Talk to common folk: Unlike dealers/builders, localites will give you the best possible idea of an area you plan to invest in, helping you understand the existing problems, current market rates, and so on; this also helps you estimate your potential returns in the future.
- Count your finances: Though loans are easily available, do make sure to calculate the interest and other expenses incurred to reach the end goal — your dream property — before freezing on it.
- Remain calm: All real estate deals may not turn out to be fruitful, but a compromise can only lock you up in a below par property. Taking it slow can deliver your dream property at a good deal, with additional benefits too.
- Consider the risk factor: Though real estate investments are subject to a certain degree of risk, they’re still safer than other investment portfolios. However, do make sure to stay ahead of legal hurdles and property disputes.
Economic dynamics in India are certainly taking an upward journey, making real estate a stable investment option. Put these tips to work to end up with a great property deal.