Real estate sector is always considered as one of the most trusted investment destinations that would yield maximum returns to the investors. There are numerous real estate classes including residential, commercial, retail and land, where one can invest and make handsome profits over the years. But as with any other asset class, real estate investment also comes with few market risks that need to be defined properly to achieve the set goals.
The key factors that will define the success of a real estate investment include finalizing an asset, researching and conducting due diligence, considering financial expense, defining an exit strategy and setting aside a time frame to pursue real estate goals. Consider these tips to get maximum returns:
1. Identify property and location: There are various property segments in real estate that include residential, commercial, retail, etc. Choose the property asset wisely and identify location that will offer maximum capital appreciation over the years. You can consider locations like Noida Extension and Yamuna Expressway which are fast emerging as hub of numerous real estate projects for investment.
2. Research and conduct due diligence: Many a times projects get delayed or builders deliver sub-quality products that become a major concern for people while investing in a real estate property. It is therefore advised to invest in projects offered by reputed builders and examine their track record of project delivery and standard before investing.
3. Financial analysis: Do a thorough analysis of your financial expense including tax savings, payment plan, mortgage calculation and other costs that may come underway when you invest in a real estate property. Prepare a finance strategy on how much money you want to spent in buying a property and for how much you want to avail a bank loan. Also, prepare a plan in case the project gets delayed to avoid financial distress at the time of possession.
4. Define an exit strategy: Set your real estate investment goals and exit the market once you reach the target. Generally, a real estate property in a prominent market gives a return of 4 to 6 per cent annually to the investors. Holding a property for longer time may impact the overall internal rate of return (IRR) and saturation of investment.
5. Be aware of market trends: The final step to a successful real estate investment is to be aware about the latest market trends and government policies related to the real estate sector. Adjust your investment strategy as per current market sentiments and make best use of government policies and the Reserve Bank of India easing real estate norms to work in favor of your investment. Also, try to set aside a definite time in case the project gets delayed or any other unavoidable circumstance to pursue your real estate goals.
Mr. Anil Mithas, Chairman & Managing Director at Unnati Fortune Group says, “Continuous assessment of real estate investment will help in overcoming the financial challenges that may come due to changing market trends. Investors need to do a thorough research about the builder's reputation and project details. Keep a track of your monthly expense and other banking transactions to prepare a definite investment plan in noida real estate projects for maximum gains.”
The key factors that will define the success of a real estate investment include finalizing an asset, researching and conducting due diligence, considering financial expense, defining an exit strategy and setting aside a time frame to pursue real estate goals. Consider these tips to get maximum returns:
1. Identify property and location: There are various property segments in real estate that include residential, commercial, retail, etc. Choose the property asset wisely and identify location that will offer maximum capital appreciation over the years. You can consider locations like Noida Extension and Yamuna Expressway which are fast emerging as hub of numerous real estate projects for investment.
2. Research and conduct due diligence: Many a times projects get delayed or builders deliver sub-quality products that become a major concern for people while investing in a real estate property. It is therefore advised to invest in projects offered by reputed builders and examine their track record of project delivery and standard before investing.
3. Financial analysis: Do a thorough analysis of your financial expense including tax savings, payment plan, mortgage calculation and other costs that may come underway when you invest in a real estate property. Prepare a finance strategy on how much money you want to spent in buying a property and for how much you want to avail a bank loan. Also, prepare a plan in case the project gets delayed to avoid financial distress at the time of possession.
4. Define an exit strategy: Set your real estate investment goals and exit the market once you reach the target. Generally, a real estate property in a prominent market gives a return of 4 to 6 per cent annually to the investors. Holding a property for longer time may impact the overall internal rate of return (IRR) and saturation of investment.
5. Be aware of market trends: The final step to a successful real estate investment is to be aware about the latest market trends and government policies related to the real estate sector. Adjust your investment strategy as per current market sentiments and make best use of government policies and the Reserve Bank of India easing real estate norms to work in favor of your investment. Also, try to set aside a definite time in case the project gets delayed or any other unavoidable circumstance to pursue your real estate goals.
Mr. Anil Mithas, Chairman & Managing Director at Unnati Fortune Group says, “Continuous assessment of real estate investment will help in overcoming the financial challenges that may come due to changing market trends. Investors need to do a thorough research about the builder's reputation and project details. Keep a track of your monthly expense and other banking transactions to prepare a definite investment plan in noida real estate projects for maximum gains.”