A stepping stone to permanent returns
Purchasing real estate is an expensive proposition for most new investors due to high capital commercial real estate, and practically impossible without a loan. Loans come in many shapes and forms but all with common guidelines regarding cap amounts and EMIs.
For the average investor, it is probably best to turn to a secondary method of real estate investment in the country.
REITs and InvITs
REITs (Real Estate Investment Trusts) and InvITs (Infrstructure Investment Trusts) are the stocks and bonds of the real estate industry. They are great for the security they provide on ROI, especially for young investors. The minimum investment in an REIT is Rs. 2,00,000/- additionally making it an attractive and easily accessible investment opportunity for the financially growing youngsters.
REITs are devised in a manner that provides stable income to all unitholders as 90% of the profit generated is distributed as dividend.
The advantage of investing in trusts is akin to investing in mutual funds. Brilliant minds professionally manage these trusts and take calculated risks based on property level analysis, data mining, and globally accepted trends in the market, to ensure you gain maximum returns on minimum investment.
Ask and you shall receive – help
The real estate industry is vast and tough to navigate alone. Education and knowledge sharing are essential to a profitable investment portfolio. With time on your side, build a network of local investors and professionals to learn from and work with. You can prevent and efficiently fix mistakes, expedite education, and gain access to deals and opportunities.
The Indian government has also made it a priority to maximise the inflow of capital into the real estate market by subsidising investment opportunities and raising occurrence of the same.
Once you start seeing the returns roll in from REITs and InvITs, it will both boost your confidence and provide a good base to start investing in your forever home.
10 Dec 2021