Investment in real estate has always been famous in India as most the people here prefer to invest their money by purchasing property. The real estate sector is struggling to curb issues of maintenance cost, transaction and lack of returns. The people who are smart enough, invest in property and with the increasing rates of property the middle class range of people who had bought property when the prices were low have now become rich overnight. However, now the builder get higher amount of returns than the investors. Therefore, the real estate is palpable hence it is regarded as a good investment.
There is a misconception in the minds of people that realty sectors don’t give returns like that of equity. It is a known fact that if you property immediately after buying, you will not get negative returns. The negative returns are a consequence of cost spent in brokerage of stamp duty and difference of prices between the seller and the buyer. Majority of people don’t trade in real estate and prefer to hold it for a longer duration in order to get maximum returns. The real estate returns varies over a cyclical period of time. The best way to get maximum returns is allocation of assets.
There is a misconception in the minds of people that realty sectors don’t give returns like that of equity. It is a known fact that if you property immediately after buying, you will not get negative returns. The negative returns are a consequence of cost spent in brokerage of stamp duty and difference of prices between the seller and the buyer. Majority of people don’t trade in real estate and prefer to hold it for a longer duration in order to get maximum returns. The real estate returns varies over a cyclical period of time. The best way to get maximum returns is allocation of assets.
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