5 Things Before Buying A Property
Investment in property is a very thoughtful decision. Proper planning and research are important before making any decision to invest in real estate. If you want or planning to invest in property, then these 5 Things Before Buying A Property make your investment journey super successful.
Over the past few years, the real estate market across the country has been consolidating. The market position looks good in both residential and commercial sectors. However, there are certain aspects you should check before investing in a property. Here, you will know what you need to check before buying your first property.
1) Purpose of purchasing
When you go to buy a property, it should be clear in your mind that why are you investing money in the property? Because people have their own objectives to invest in property.
that may be Rental Income or Price appreciation.
2) Your present financial condition
One of the common misleading conceptions about real estate is that as soon as we buy property, we will start earning attractive returns. However, the reality is a little different, and after buying a property, you may have to wait for some time before getting the returns.
In other cases, you may get good rental income from the property. Because there is no doubt that property gives smart returns. But for that, you need a good location and good property. And along with this, you should invest in the property only when your expenses are being met.
Purchasing property by taking a loan is not a good move. Because in that case, the return that is to come will now go for paying EMI and the rest of the expenses. Invest only when you are ready to take care of that property as well.
3) The Property Location
Property owners should prioritize the location of new residential or commercial property in India before investing. Because most in most cases property value is depending on the location of the property. If you buy a property in a prime location, you can enjoy better rental returns in the years to come. Property is a fixed asset, where the prices keep appreciating over a period of time. So that’s why, before purchasing property, you need to choose the right location, ensuring that you can gain monetary benefits in the form of rent and appreciation.
4) The property type
When you plan to buy property in India, you need to decide whether you will go for residential or commercial property. It has been noticed that commercial property in a good location and big cities gives a better return than residential property. But in the same case, if you talk about price appreciation in the long term, then premium residential property gives good returns.
5) Return On Investment
Return on Investment the first thing which comes into mind is what about the return. The return comes in the form of the value of the asset. If you personally use the asset, it will bring you some relative advantage compared to other assets. Alternatively, when you use the asset for business purposes, you should be able to get a good return from it. In big cities and urban areas, people invest in residential and commercial properties to earn good rental income.