Get fractional ownership in commercial property. Own high-yield commercial properties for as little as 10 lakhs. Receive monthly rent and sell your holding to benefit from capital growth
Commercial Property Valuation - All You Need to Know About. Commercial Property purchase can seem daunting owing to complex due diligence process and is fairly specialised in nature.
Traditionally it has been accessible to only Institutions and High Net Worth Individuals. What are the Best Options for Owning Real Estate? Throughout history, owning real estate has been one of the best vehicles for wealth creation.
In fact, canny real estate investments have generated the most number of millionaires and billionaires in the past two centuries. These investments may take the form of ownership of land, buildings, infrastructure facilities such as railroads and ports and other permanent structures. Investment in real estate yields two kinds of passive income – the gradual appreciation of the property value, and the periodic income from rentals and other such agreements. Moreover, such investments also offer a host of tax advantages. Real estate investments tend to be capital intensive and long-term; they require a hefty initial outlay and are dependent on cash flows. Impact of Covid-19 on Commercial Real Estate. Pandemics require tremendous societal effort to contain, but in its wake can have destabilizing effects on the economy.
The United States Federal Reserve Bank has cut interest rates by half a percentage point. The European Union is contemplating a half a trillion-dollar monetary insertion, in attempts to boost market sentiment. Pandemics are infrequent, but unpredictable and out of control With Covid-19 sweeping the world, sending entire countries into lockdown, the economy is taking a severe beating. Already the UN estimates that the outbreak will cost the world up to USD 2 trillion in 2020 bringing global growth to under 2.5% this year. How to Diversify Your Portfolio in 2019-2020?
For an individual, arriving at a formula that maximizes returns while minimizing risks is much like locating the Holy Grail.
Unfortunately, this is an equation that changes with several factors – performance of markets, industry cycles, individual risk profiles et al, the elusive quest never really concluding. One sure way, however, of mitigating portfolio risk is through diversification. Equity Equity remains a popular investment option with individuals of all types. Since the value of equity assets largely depends on market factors outside of one’s control, it makes for a highly volatile investment route. Mutual funds Mutual fund is well suited for individuals with cash in hand, but limited knowledge of the working of share markets. Debt instruments. Best Ways to buy Real Estate in India. For decades now, India has had a steady obsession with owning real estate – a fact that was quantified by the country’s central bank in a report titled Indian Household Finance.
In the report, the Reserve Bank of India stated that an average Indian household holds a staggering 84% of its wealth in real estate, whereas only 5% of its income was tied to financial assets such as stocks, bonds, and deposits. Commercial Realty: Way To Build Wealth For NRIs. Commercial property has become one of the hottest investment assets for NRIs in the recent past.
A rapidly developing economy, growing urbanization, the depreciation of the rupee, the establishment of RERA, which increases transparency in the realty sector, attractive rental yields, and good value appreciation potential are some of the factors that are driving this trend. With government rules now allowing NRIs to freely purchase property except farmland and plantation land, the real estate sector has witnessed considerable wealth inflow from the Indian diaspora.
A report by real estate consulting firm 360 Realtors notes NRI investments in the sector doubled from $5 billion in 2014 to $10.2 billion in 2018. Commercial Real Estate: Maximizing Rental Yield. Every person who invests in well-selected real estate in a growing section of a prosperous community adopts the surest and safest method of becoming independent, for real estate is the basis of wealth.
. – Theodore Roosevelt Rent from real estate is a tried and tested way to generate passive income for investors. It helps add to wealth while simultaneously creating a safety net to hedge against income uncertainties. Along with stocks, bonds and gold, real estate is a popular asset class known to generate stable, long-term returns. Property Buying: as Easy as Shopping Online. “Stay home, stay safe” shouldn’t mean that all real estate investing must necessarily come to a standstill.
At a time when staying indoors has become the mantra to protect the population from the threat of Covid-19, online property purchase has emerged as the key to sustained ownership of commercial real estate in the midst of the lockdown. The need for venturing outside is completely eliminated with technology enabled online dealing as everything you need to make the right decision is literally at your fingertips. Online Asset Trading From stocks and bonds to gold and real estate, all asset types can be traded online nowadays. Equities have been bought and sold online for many years, while investors can also trade in government securities through dedicated online apps like NSE goBID. Online Property Purchase Property purchase has traditionally required significant physical effort.
Covid-19: The Right Time To Buy Commercial Property. Pandemics cause serious disruptions in the economy, but offer unique opportunities for prudent investors.
Some core sector stocks might be wise investments right now. Similarly, buying commercial property for investment could be an attractive opportunity in current times with the potential of stable returns and the capacity to provide dual income through rent and capital appreciation.