Investment is an asset or item acquired to produce income or increase in worth or value over time. When a person buys something as an investment, the purpose is not to use it for themselves but rather to create wealth in the future. Investing, besides giving you present and future financial security, also helps you achieve your life goals!
An investment begins with an expense of some kind today—time, effort, money, or an asset- with the belief of a significantly higher return in the times to come than what was initially put in.
Over the last few decades, real estate has become an attractive investment option, especially if you have done your research well! Deciding to invest in real estate is just the beginning of fulfilling your long-cherished dream of owning a place you can call your own home. What with plenty of choices available at every step of the process. Let’s look at the first and probably the most important one – where should you invest in a plot, a flat, or a villa?
Apart from the financial considerations, many other factors add to the unusualness of each of these three options. These may include the investment needed up front, rate of return, resale value, personal factors like marital status, job (whether it calls for frequent transfers), and the family’s size.
Besides lifestyle preferences, the following are the pros and cons of Plots, Apartments, and Villas individually, which will help you decide!
Investing in plots
Before the advent of high-rise apartments and other dwellings, buying a plot of land and getting a dream home constructed with everything right from the overall design and layout to choice of materials, fittings, fixtures, etc., was on top of the bucket list of every middle class Indian! Buying a plot, especially in a burgeoning metro like Hyderabad, is still a great investment idea. Besides the fulfillment and privilege of living in a house where everything is built to your taste and requirements, it gives you the flexibility of adding additional floors, customize the interiors and exteriors in line with the latest trends.
When it comes to resale value, one needs to keep in mind that land value is always bound to appreciate, given the demand. The house almost always goes through general and season-infused wear and tear over time. You have to pay much attention while planning the layout, interior amenities, accessibility, and quality of construction, as these are the crucial factors that help determine the value.
On the flip side, however, is the whole process of buying a plot of land in India. It is not everybody’s cup of tea! To buy a plot, an individual or a family needs to have financial savings in place. Besides having a good idea of the city, the area he plans to invest in, its future growth potential, etc. One needs to be aware of the risk of fake owners claiming lad to be there’s and other legal tangles like title deeds, tax-paid receipts, clearances required for construction, etc. Once done, one needs to run around to make every aspect of your dream a reality – from architects and contractors to raw material, labour, and many other miscellaneous costs. All in all, it may turn out to be a costly and time-consuming affair. Also, while banks offer attractive loans for buying a plot, they are subject to several other conditions.
Read more: https://sterlingheights.in/blog/investing-in-plots-is-better-than-buying-villa-or-an-apartment/
