Land or apartment: what is the best choice?
Read on to find out what is best for you.
The culture of the apartment has invaded the residential market in India's big cities, but people still cherish the desire to buy land and build their own homes. If you intend to do so, you must carefully evaluate several aspects such as the cost of construction, appreciation, financial aid and income. Ajit Narasimhan, Director of Savings and Investments, BankBazaar.com, says, "Investing in real estate is almost always rewarding if you do it the right way.
Investment
However, the purchase of a parcel requires that you have funds available to build the property on the land purchased and is more expensive than buying an apartment of similar size and size.
On the other hand, if you were to invest in land in one of the tier II cities in India, you would be able to acquire substantial land at a much lower price. The thing to remember is that while several banks offer loans to buy an apartment, not many offer loans for plots.
In addition, building your own home requires not only money but constant monitoring of the building process. Ashwinder Raj Singh, General Manager, Residential Services, JLL India, says, "When you buy land, you have to monitor building activities on a regular basis and chances are that a project will go over budget because an ordinary man does not have. experience and expertise to build properties on a regular basis.
In addition, the conversion of a parcel into a residential area requires several authorizations and authorizations from municipal organizations.
Scope of resale
When you build your own home, you do it according to your tastes and tastes, which does not necessarily appeal to a potential buyer when you decide to sell it. This disadvantage is absent in the case of apartments because they have a fixed structure that is part of a building and, therefore, easier to sell at the market price without much negotiation.
Return on investment
With respect to independent homes, the value of the land is increasing, but the value of the built property continues to decline over time due to use and the resulting deterioration. The seller must regularly invest in its maintenance.
The value of an apartment continues to increase because it is still in demand because of its affordability factor. However, the owner of a parcel can make a profit on his investment if he plans wisely by building several floors and renting them.
Security
It is imperative to ensure that the intrigue in which one invests is free from any legal complication; that the seller has all the deeds and documents required to sell the land and that there are no disputes - criminal or civil - associated with this land. Living independently means investing in security from your own pocket.
Conclusion
Choose the best option after analyzing your needs, financial capabilities and responsibilities. If you are simply looking to invest your funds for a few years until you are ready to invest in an apartment, a plot of land in a location that will be appreciated in the future would be a good idea. However, if you are looking for regular returns, you can consider investing in an apartment.
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