Real Estate still the Most Enticing Investment for Investors?

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The pandemic has hit us hard. We saw share prices tumbling, gold slipping, and most other investment instruments facing an elongated bearish market. In all this chaos, one contender seems unflustered – real estate.

A survey by JLL, a property consultancy, concluded that 91 percent of people would prefer buying a home over living in a rented place. Even though people have been arguing that we are moving towards a rental-based model when it comes to our dwelling choices, 67 percent of people involved asserted that buying a home is more a necessity than a luxury.

Let us pitch some points to strengthen the finding further –

• The cost of a property is on an eternal-rising curve:
  We all have heard stories of people buying properties in Mumbai or Delhi a decade back and how the value doubled with time. The world’s population is rising, and they will need more dwelling spaces to accommodate themselves. Increasing demand inadvertently leads to soaring prices.

• Real estate lets you choose
  Most other investments’ performance depends on a lot of external factors beyond our control. If you invest in stocks, your profits will depend on how the organization and the market performs. But if you buy a property, you can choose what you want to do with it. Rent it, sell it, leave it, or make it a playground. The choice is yours.

• You get tax incentives
  For property owners, The Income Tax Act, 1961 offers generous tax benefits to ensure that you get some respite. Suppose you have taken a loan for the purchase of real estate that you are using for personal purposes, you can claim deduction under Section 24. Assesses also get a Standard Deduction of up to 30 per cent in most cases.

• It shows better resilience during the tough times
  Before the world came across the Novel Coronavirus, we had never anticipated that most parts of the world could ever be in a state of lockdown at the same time. Even after nine months since it first got detected, Israel declared a stringent lockdown for three weeks a few days back. Most markets tumbled, and so did real estate. But it suffered the least and is expected to regroup soon.

The pandemic has pushed our plans to own a home by at least six months, but there is still hope. The COVID-19 was a testament to the fact that real estate is amongst the most secure investments that you can make, and it is only time before it gets back to full strength. What do you think?

At Estate.One, we believe you can live a fulfilled live only when you are in a good home and we strive our best to connect you to a good investment in property. To understand more about what we do and how we can help you invest in the right property, mail us at connect@estate.one or send us a chat message.