Real estate investment : Are you also planning to buy property for investment purpose? To ensure that you do not incur a loss while selling the property, you should keep in mind some important mistakes. A buyer should examine a dozen properties. Buying real estate requires a lot of patience. In a hurry, you can make a loss.
According to experts, before buying a new cell phone, when we often look at different models and choose a phone that meets our needs. The same applies for real estate as well. Information should be sought from development, planning, area, disaster area, rationale behind the sale, nearby offices, driving issues to school.
The purpose for which you are buying should be clear
The buyer should know the target of the purchase. They should know before buying whether they are looking for a house to live or a place to lease. One must understand that real estate requires standard maintenance and remodels, which require additional capital out of your pocket. Clarity on these points can make your job easier.
Also read- To participate in LIC IPO, policyholders will have to update PAN by this date, otherwise they will not get shares
Understand the full cost of real estate investment
When you invest in real estate, you should cover the entire cost of it. For example, additional charges like GST on the base price of Rs 100, registration, stamp duty, brokerage, furnishing, cost of borrowing etc. increase the entire bill to Rs 120-130.
Compare with other types of investments
Financial instruments like mutual funds, small savings or equities are some of the cheaper options if you are looking to buy property only as an investment. In real estate where maintenance cost and property tax have to be paid. At the same time, the maintenance cost for investing in other instruments is very small. For example, expense ratio in case of mutual funds and nominal demat fee, brokerage etc. has to be paid in case of shares. When you need money, you can redeem your financial investment little by little. At the same time, there is no such facility with property.
Tags: investment, Investment tips, real estate, real estate market
Read Article in हिन्दी