All You Need to Know about Real Estate Investment Trust

A Real Estate Investment Trust (REIT) is a company that own or finances the income production in real estate sector. This is modelled after mutual funds and allows everyone to invest in portfolios of large scale properties the same way they invest in other industries through purchase of stocks. The stockholders of REITs earn a share of the income produced through real estate investment. Publicly traded REITs offer investors the benefits of commercial real estate investment along with advantages of investing in publicly traded stock.All You Need to Know about Real Estate Investment Trust

Most REITs operate along a straightforward and easily understandable business model. By increasing rents and property occupancy over time, higher levels of income may be produced. REITs in other countries have demonstrated a historical track record giving good income and long term share price appreciation, inflation protection and prudent diversification for investors. So REITs financial benefits can be sum totaled under the following headings:

  • Diversification- Increased return; reduced risk

  • Inflation Protection- Natural Inflation Hedge.

  • Liquidity- Portfolio rebalancing [Read more…]

Why should you invest in Indian smart cities

Real estate will prove a good investment option and it also scores over gold as an investment option by a long shot. The ‘Smart Cities’ concept has been given a great push by the government and it has decided to fund 100 smart cities all over India.‘Smart Cities’ in itself has become an autonomous system. It is a fully loaded entity which will have expansive green landscape, immaculate architecture and an exhaustive line up of world class amenities. The housing according to the government will be for all i.e. affordable.
Why should you invest in Indian smart cities [Read more…]

House Hunting? Get the Right Home Loan First!

Once you are sure that this is the right time to shift from a rented apartment to your own home, a whole new set of questions start popping up in your mind. Before making that property investment, choosing the right home loan is important. Nowadays, numerous financial corporations are providing home loan facilities to the customers and these loan products are also offered in varied specifications. In the midst of a plethora of home loan options, it is hard for the customer to choose the kind of loan that best suits his risk profile.House Hunting? Get the Right Home Loan First!

Before starting the home loan hunt, you should first analyse your own risk profile. Ask yourself whether you are in a position to commit to a long term repayment process. After you have properly analysed financial condition over the next ten years, consider the following factors to choose the right home loan: [Read more…]

Skyscrapers: The Future of Indian Real Estate

After the coming of Modi led government at the center, the urbanization drive in India has regained its lost pace. Better urban planning and development of ‘100 Smart Cities’ were the two key promises made by the government. A well-developed urban skyline will not only cater to the needs of dwellers but will also attract a great deal of foreign investment. According to a report, by the year 2050, India will have more than 400 million urban dwellers and so more will be the need of residential and commercial properties.
Skyscrapers: The Future of Indian Real EstateHowever, urbanization will require more land parcels. But the paucity of available land in the urban cities of India has come forward as one of the biggest challenges in this process. And when there is no space to grow on the land, the cities will develop vertically. High rise buildings will mark the future skyline of the metropolitan cities. Several high-rise residential projects are already in the pipeline. Lodha World One in Mumbai is going to be the world’s tallest residential tower at 423 metres.
[Read more…]

All You Need to Know about Investing at a Young Age

Are you thinking of making an investment but doubt that you are too young to do that? May be it’s time to give it a second thought. Real estate is one of the most preferred sectors where you can put your hard-earned money. Most of us think that we are not mature enough to make an investment. However, the younger you are while making your first investment, the more wealth you build for yourself.All You Need to Know about Investing at a Young AgeEven if you are only 27, you should start believing that the ‘old’ you is slowly creeping up. And it is only in this young age that you shoot for the stars. Though you have a lower disposable income at this age, a proper planning will surely help you achieve success.

Given below are a few points you should keep in mind before making a property investment at a young age: [Read more…]

Real Estate Bill: What’s in it for the buyers?

Real Estate Bill: What’s in it for the buyers?Recently, the Modi Government amended the Real Estate (Regulation and Development) Bill 2013. Previously, the bill was only meant to safeguard the interests of residential home buyers. However, the approved changes in the bill incline it in the favor of the buyers and investors as well as the developers and cater to industrial and commercial properties as well.

The bill brought forward the issue of contract enforceability and made it clear to the developers that if they do not honor the contracts they have entered into, they must refund the amount to the buyers along with interests and other charges. Each state will have its own real estate regulator and all the commercial and residential properties will be registered with the regulator. Unregistered properties will not be considered genuine. Nor can the developers advertise or launch projects without registration. However, real estate projects that have already been launched will be covered. [Read more…]

Reasons Why You Should Invest Your Money in Real Estate

Reasons Why You Should Invest Your Money in Real Estate Purchasing a property for residential or commercial use may be a daunting task. But if you look at it as an investment it would emerge as the best purchase that you have made in a lifetime. Real estate is one of the least risky and most lucrative options of all investments. It can emerge as a source of regular income or a high return investment.

Here are a few reasons why you should consider investing in real estate.

High ROI- Investing in real estate leads to profitable turnouts in the future. The value of property has never gone down in India, it always appreciates. You cannot be sure whether the equities or mutual funds you have invested in are going to inflate in value in the coming time. But the returns on real estate investments are always rewarding. [Read more…]

High Net Worth Individuals of India Invest Half of their Wealth in Real Estate

High Net Worth Individuals of India Invest Half of their Wealth in Real EstateReal Estate cannot be lost or stolen, nor can it be carried away. Purchased with common sense, paid for in full, and managed with reasonable care, it is about the safest investment in the world.”

This quote by Franklin D. Roosevelt precisely explains the importance of real estate as a lucrative investment option. According to the Knight Frank Wealth Report 2015, the ultra rich individuals of India invest half of their income in real estate. This is by far the highest figure across the globe, followed by Australians with an allocation of 42% of their net wealth in realty sector.

The real estate market of India has been developing at a rapid pace. The property values in metro cities has witnessed considerable appreciation in the last five years. Seeing the trend, High Net Worth Individuals (HNIs) prefer to buy a second home than investing in stock or bonds. More than 85% of the ultra rich individuals are contemplating over increasing their investment allocation in luxury residential property as the category is fastest growing. Putting their money into commercial property is also fetching them fruitful returns. [Read more…]

Singapore’s GIC all set to invest in Vatika Realty Projects

Singapore's GIC all set to invest in Vatika Realty ProjectsThe fresh investments such as the one driven by GIC is likely to create more opportunities in the real estate sector

As a result of India becoming an attractive destination for real estate investments, Singapore’s sovereign wealth fund GIC is moving forward with Gurgaon-based realty developer Vatika Group to form an exclusive alliance and invest in residential and commercial properties in north India.

As part of its strategy to invest in India, GIC is looking to put in around $150 million in this platform in addition to its recent investments in two residential projects of Vatika Group in Gurgaon, as per the media reports. [Read more…]

Why today is the right time to gain from real estate in Delhi

Why today is the right time to gain from real estate in DelhiThere is a saying that when the times get tough, the tough get going – this holds true for the real estate market in Delhi and National Capital Region, as many experts believe that this is the right time to invest in the regions real estate market and ensure financial growth, even in tough times like this.

There are many factors that are contributing towards creation of an ideal investment friendly atmosphere for the people. Price drop in real estate is one factor which is making real estate investment, an interesting proposition for the customers. In addition to this the formation of a stable government at the center has also bolstered sentiments in the real estate sector of the country. [Read more…]