Investing in Rental Properties

If you are thinking of investing in real estate, you have many good reasons to believe that it is a good investment. Investments in real estate cover a much broader range of opportunities than most people are aware of.

For simplicity’s sake, we can divide the different ways of investing in real estate into two main categories,

1. Reselling a property quickly for a profit and 
2. Investing in a property long-term to rent it out.

A rental property can provide you with two types of returns, which could make it an appealing investment. 

1. In the long run, it can provide an appreciation for the owner, if the property value increases over time.
2. Furthermore, the owner has the potential to earn an ongoing return by renting the property to tenants

In India, you can easily earn a return of 2-3% for residential properties, 6% for showrooms & 7-8% for commercial properties. You might think that the returns aren’t lucrative if you just consider the rental income, since bank deposits can also yield 7-8% a year.

Rent and appreciation in real estate make real estate an attractive investment when you combine them with tax breaks and a reduction in interest on the loan.

Please leave this field empty

Subscribe To Our Newsletters

Email Address *

We don’t spam! Read our privacy policy for more info.

Check your inbox or spam folder to confirm your subscription.