Thursday, April 25, 2019

What kind of residential real estate can get you higher rental return on investment? Find out

Rental solutions have been key to addressing India's housing challenges, and the country's rental real estate holds immense potential. In 2017, the rental real estate market was pegged at one crore units and was valued at $22 billion (Rs 1.53 lakh crore). By 2023, its volume is expected to be 1.8 crore and valuation $41 billion (Rs 2.85 lakh crore).

However, maximising rental yields has been a challenge for the rental real estate market. Low rental yield and poor capital appreciation, especially in the past two-three years, have hurt investors.

However, smart choice of investments, value-added services and a host of online rental disrupters can be a game-changing recipe for India's rental real estate market and investors. You can earn a higher rental yield, if you keep the following factors in mind:

* Invest in affordable homes
 Magicbricks data suggests that yields in the affordable homes segment are higher compared to the mid-level or luxury segment. There is also a significant variation between yields based on their capital values(Rs/sqft). We have observed across cities that properties priced below Rs 6,000/sqft have an average rental yield of more than 3%.

For Any Queries Contacts us
Phone- 9099993192
E-mail- landcorerealestate@gmail.com
Web- landcorerealestate.com (coming soon)

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