It’s not just about maximising the profits and minimising the risk of losses, but also about offering peace of mind and boosting confidence in the investments
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There’s no denying that investing in real estate is one of the most lucrative ways to create wealth. However, it takes more than buying low and selling high to turn realty into a real fortune. There are far too many tragic stories of ill-informed folks who have burned their fingers in the lure of making a killing in the bricks and mortar investment.
Before we get to know, how to make the most of your real estate investment, let’s acknowledge that this is a great time to invest in realty. Market reports affirm that the lull in the Indian property market – following demonetisation and key industry reforms – is finally over. Thanks to regulations such as the Goods & Services Tax (GST), the Real Estate (Regulation and Development) Act (RERA) and easing of FDI norms, there is now greater transparency, improved consumer confidence, and enhanced capital inflow into the real estate sector in the country.
So, what’s the secret to tasting success in real estate? There are many ways of doing it right, yet the fundamentals remain the same. Here’s looking at five ways in which you can ace the realty investment game:
- Think short-term rentals
There was a time – not too long ago – when renting out properties was considered a long-term investment, with steady monthly yields. Today, thanks to the rise of the sharing economy and services like Airbnb, short-term renting of residential properties is where the big – and quick – money is. You can easily expect 10-20 per cent return-on-investment (ROI), depending on the demand, locality, and other contributing factors.
Homestays and vacation homes are also rewarding when it comes to investing in short-term rentals. There is immense potential to earn a substantial amount of passive income from investing in properties that can be rented out on a short-term basis to business…