When it comes to real estate, a certain trend has been noticed in the past decade. People are no longer waiting till their retirement, or even middle age to Property in India. The youngsters are buying a home around their early to mid- thirties, by the time they have acquired a secure position in their jobs and are ready to settle in their personal lives as well.
Young professionals today are in a better position of doing so because housing finance is easy to attain and there are EMI facilities, plus other attractive incentives which makes such a purchase easier these days. The purchasing factor is also driven by need- most youngsters today are moving out of their homes because of their job postings and for those who are moving out of their cities for good, it becomes imperative to buy a home in the new city, or even country, they are migrating to. Renting is an option, yes, but rentals work best for a short term scenario. This is because no matter how much rent one pays, a property will never become their own. It is a far better idea to use that sum for EMIs and using the money for the initial deposit for down payment instead. Eventually, one will have a property to his/her name which is always a future asset and adds to one’s net-worth. Hence, it can be safely said that one can be sure that purchasing a house is better than going for rentals when it comes to your basic needs.
However, what about investment?
When it comes to investment, the primary goal is wealth creation. And Real Estate has always been considered a safe option in this regard. That does not mean that there aren’t any ups and downs to contend with. In fact, anyone who is remotely familiar with real estate will tell you there are periods of slowdown in real estate as well. However, what makes real estate a safe option is that, no matter what the situation is, and no matter how much time it takes, property appreciation in real estate always happens. You could buy a home now, and even if it does not yield much returns now, you can at least hand it over to your children, and eventually they will be the ones reaping the benefits. If your property is well maintained, or at least not falling to pieces, there is almost always a chance of acquiring a return on investment from your home, or even your plot of land.
|