Over the years, real estate and construction have become a major segment of the industry, with the demand for real estate rising more and more with each passing year. The growth in per capita income has been one of the biggest reasons for a rise in investment as compared to any other form of expenditure. Almost every individual or family has made it a point to invest in one component or the other as a backup plan for retirement apart from investing in the various insurance policies stocks.
However, compared to investing in mutual funds and stocks, purchasing flats in Mulund East or any other part of the city that has upcoming residential projects seems ideal when we take potential risks and other factors into account. Here’s why real estate investment is the best option to choose if you have funds lying about:
Earning Back the Investment through Potential Tenants
Once you have the possession of your flat, you can give it out on rent to tenants as a way to get back the funds you invested in the project in the beginning. This is surely the fastest route to earn the benefits of having invested in real estate as against enjoying it in your golden years. This way, you can have your cake and eat it too!
Saving on Tax
Tax saving is the biggest reason for every investment ever made. With the government making exceptions to save up on tax, most people decide to opt to invest in insurance policies, pension plans, FDs, and real estate. While all the other options have been constant for every individual, the demand for real estate and property investment has lately been on the rise.
Backup for Retirement
Making an investment now can help you enjoy the benefits of doing so in the future once you have retired. With the price of property increasing with each passing year, you can earn a lot more than your initial investment if you decide to sell it in the future to support your dreams of travelling the world.
The above-mentioned aspects of a property or real estate investment can prove to be a major boon in the future by allowing you to reap the benefits of the investment made in the present.