A wise investment may transform our lives by giving us the returns we need to fulfil our ambitions. Most of us have a variety of assets in our portfolios these days, including stocks, gold, bonds, government schemes, and so on, but real estate and land investments continue to be among the most overlooked or undervalued investments in recent years.
Infrastructure development is also accelerating in India, where the real estate industry is continually expanding. The study claims that this is leading to the development of micro markets into significant investment corridors in India’s major cities.
A survey claims that investing in land and renting it out yields ten times more money than buying ready-to-move-in flats or apartments. The report highlighted factors like improved housing affordability, pandemic-era savings, health and wellness hygiene, and favourable investment policies as key drivers that are triggering housing demand across the nation.
Types of land investments include:
- Residential plots
- Farmland/Agricultural Land
- Plantation land
- Commercial land
- Non-Agricultural Plots (NA Plots)
Pune, often known as Puna to the locals, is one of the most active and dynamic real estate markets in the nation because of the city’s high property prices, scarcity of available land, and expanding population, all of which drive up demand for real estate.
The western corridor of Pune, encompassing prominent cities like Hinjewadi, a major IT hub with excellent infrastructure, Aundh, a well-developed and upscale residential area, Baner, known for its vibrant nightlife and proximity to Hinjewadi, Balewadi, a developing residential area with the famous Balewadi Stadium, Pashan, located on the Mumbai-Bangalore Highway with good connectivity, Wakad, primarily a residential area offering diverse housing options, and Kothrud, a well-established area with a mix of residential and commercial establishments, presents a potential opportunity for land investment alongside the upcoming Outer Ring Road. The project, still under development, aims to improve connectivity and reduce traffic congestion. This infrastructure development is expected to unlock the region’s potential, leading to increased residential and commercial activity in the future. However, it’s crucial to remember that land investment carries inherent risks, and a thorough evaluation of the specific location, legal status of the land, and market trends is essential before making any decisions. Consulting with a qualified real estate professional is highly recommended to navigate this complex process.
Here are some of the points that shows Land investment is beneficial as compared to investing in an Apartment:
Land | Apartment | |
Initial Investment | Generally Lower | High because of bult up cost and infrastructure |
Appreciation Potential | Higher potential for appreciation | generally see slower value appreciation in established areas |
Greater control and customization | You can choose how to develop the land, be it building a house, starting a business, or subdividing it, offering flexibility in use | Apartments offer limited customization options due to building regulations and shared ownership aspects |
Maintenance | Minimal ongoing maintenance costs | Maintenance as per the management |
Liquidity | Lower liquidity compared to apartments | Higher liquidity due to market demand |
Both land and apartments possess their trade-offs for real estate investment. The land is more likely to offer more appreciation, but it comes with a higher requirement. The right option is based on your investment targets, your time frame, and your risk tolerance. Land offers good returns to those investors who take a longer-term approach to accumulating wealth. Analyze both investment products thoroughly, and then select the one that matches your own requirements better.
Making the Right Choice
Qubic Properties knows the intricacies involved in real estate investment and is in a unique position to enable you to thrive in a complex market. Over time, our highly experienced team has earned a proven track record of generating the best returns for our clients and successful investment outcomes.
Whatever the property type you are interested in, let Qubic Properties be your real estate consultant for a profitable property investment. Contact us today to learn in detail about the services that we provide and how our company can help you reach your investment targets.
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