Archive | Real Estate

Real Estate Investment Tips

real-estate-investment-tipsEveryone wants to make money and also to investment their money in some reliable things from which they can make money in long run and have earn internet rates. What can be better than real estate investment? Investing in real estate market is the most valuable and safe investing tool in today’s world. A man is dream is never ending. Firstly, he or she dreams to have their own house then to have another house or any land area or property. In this case people usually invest in real estate market.

Only investing in real estate market is not enough. You have to follow certain rule and strategies so as to ensure your investment will give you guarantee success. First thing you should keep in mind is that whenever you will invest in real estate you have to be patient enough to earn good profit out of it. Without patience, you cannot able to earn more in real estate. You should always remember that real estate investment should be long-term.

Next, you should keep in mind is transaction cost of the property. For example when you but or sale any kind of property you have to pay transaction cost for it like brokerage(brokers fee), tax liability in terms of when you gain profits at the time of sale, another expenses like stamp duty which is at the time of registration and transferring of property you are buying or selling. These are some of the extra expenses which you have to bear at the time of investing in real estate. So you should always be clear about these expenses before buying or selling any property as these costs are not avoidable.

Next come to cash. Cash is very important to make investment. But when it comes to real estate investment you should be clear in your mind before hand that how will you make your payment like by cash, cheque or demand draft. Also, you should check before hand that what details you need to give, what all papers you need to gather and many more. Also, before buying the profit you should always check and gather the information about the person from whom you are buying the profit. Always keep in your mind that you should never trust your seller. If he or she is very close to you or your acquaintance than also don’t trust him blindly as first they are going to think about their profit not yours.

You should clear all your doubts before buying and selling the property if you have any. Always ask for legal documents. Go through the papers very carefully. Always be clear in your mind that when you are going to dispose of your property so made investment according to that like if you buy a property in that area the cost of property is going to increase a lot in future say five years then make investment according to that. Always keep in your mind it’s your own choice that will help you to earn desirable interest.

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Growth of Real Estate in India

real-estate-growthWith the increasing rate of development in India over past decades, India has proved as a leader in global economy. India acts as an important source for foreign direct investment (FDI) and also India has replaced Mexico as the third most preferable company for foreign direct investment (FDI). Many international brands and companies are investing and establishing their businesses in India. Thus, it leads to growth of real estate industry in India.

The real estate industry in India is rising rapidly with the growth rate of 30percent every year. Out of which 20 percent of growth rate in real estate is due to office, hotels, shopping and entertainment centers, hospitals, etc. With the establishment of many Multi National Companies (MNCs) in India his percentage is increasing day by day. The next 80 percent is adding by residential housing. The urbanization is the main reason behind it. Every year thousands of people mobilize from their backward areas towards the cities and developed areas in search of jobs.

With the establishing of one multi national company in an area thousand of skilled and unskilled labour gets job thus it lead to more housing in that area or it’s near by surroundings. In last couple of years the share of commercial sector in the overall real estate growth has been more significant. All the immovable properties and natural resources conclude to real estate and with the growth of real estate industry the major players of real estate industry like builders, buyers, sellers, brokers and realtors are the one who are earning a lot over the years.

The Indian real estate industry has been playing a vital role in overall economic development of the country, growing at over 20 percent over the past 5 years and contributing 8% to GDP. In 2005, the sector generated around 31 million jobs of which over 1 million jobs by organized sector. Therefore it lead to more urbanization, more housing areas.

The importance of real estate can be judge from the fact of generation of employment. After agriculture, real estate industry is the one which generate maximum employment in a country. The real estate businesses are associated with other sectors of economy and thus help in generation of employment more than any other sector of economy. According to government future project, the eleven plan period (the eleventh plan of five-year plan) the real-estate is accepted to grow from 20 percent to 25 or 30 percent. Moreover, it has scope for employment opportunities to almost 2 million people. It would be advisable to join a leading Indian company or a multi-national with a local presence, as there is efficient scope for training and rapid upward movement through the ranks for talented individuals both skilled and unskilled.

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