While investing in stocks and other market instruments is quite popular among investors, investing in real estate also offers lower risk, yields better returns and is a great tool for diversified investment. Investing in the share market is indeed a risky proposition as it a highly complex field and requires investment skills of the highest levels. Real estate is considered a solid investment, as in you can physically see, and unlike stocks which are dematerialised electronic documents. In this article, we will talk about why you should seriously consider investing in real estate as a safe and yielding investment option.
Factors which make real estate a good investment
Since 2016, the price points of real estate have largely remained constant. If the annual inflation are factored in, the current property prices are effectively at discounted levels. As a prudent investor, you know that the right time to invest is when the market prices are low. As an investor looking to invest in real estate, you must consider parking your funds in an investment which gives you capital appreciation and regular monthly rental income. If you’re availing a housing loan to fill in the gap between self funding and the total property cost, you can now avail home loans at historically lowest interest rates for a maximum of 25 years. 1891 ekam parkk dadar is a marvelous residential development with world class amenities
Investment history of real estate
Historically, real estate has shown to be an appreciating asset and one which give you fairly good investment yield. It is a proven fact that compared to other investment options, real estate is the best investment option in the long run. It defeats all asset classes in terms of capital value appreciation as well as sustained income in the form of rentals. Which is why real estate has regularly featured highest in the investment priority list of Indians.
Rental laws favour the property owner
When you invest in real estate with the intention of earning rental income, you can be rest assured that your asset as well your rent will be well protected by the rental laws laid down by the government, for assuring you a secure and safe rental experience.
Investing for yourself is important
Apart from the fact that investing in a residential property is an income generating decision, you should first and foremost think about your own roof over your head. Owning your house is one of the biggest aspects of settling down, which is why home buying in India is considered a social security measure. nascent developers ekam parkk is coming up with spacious flats for sale in Dadar
Tax benefits of investing in real estate
Under Section 24 of the Indian Income Tax rules, you can claim exemptions on your home loan interest. If you’ve given your house property on rent, you can also claim deduction on this income from house property. Further, you can also claim tax benefits on your principal repayment amount under Section 80C. Investing in real estate can improve their cash flow by claiming tax deduction on depreciation expense.
Government initiatives to boost real estate investment
Over the last couple of years, the government has initiated a slew of measures for ensuring that investors are motivated to invest in real estate with a relaxed mind. Implementation of RERA, the investor-friendly property monitoring law, and suitable amendments to the Insolvency laws and the Benami Properties Act have drastically changed the way the real estate sector now function in the country. The safe and secure real estate environment created by the government should be one of the major reasons for you to consider real estate as your first investment option.