If You Have A House, Do You Need Another Residential Investment: Answer Is NO!admin
This might come as a shock to you, but makes absolute commercial sense! Even though residential investments have been considered safe and income-generating for a long time now, the practical considerations signal a shift in trends. If you have a comfortable house to live in, it makes more sense to make future investment in a commercial property rather than a residential one!
Here are the reasons for the same:
- Higher Rentals: A residential project generates 2-3% of rental value of the cost of the property while a commercial establishment provides rents in the range of 7-8% on an average
- Capital Appreciation: The value of commercial property rises higher than a residential project as the need for shops, offices and other commercial establishments is always on a rise in a growing economy like ours.
- Infrastructure Development: India is undergoing a massive change when it comes to infrastructure development and with a growing economy, there are more and more new businesses being set up. Therefore, the need for offices and shops is on a rise.
- Negligible Maintenance: The onus lies on the tenants to maintain commercial premises and even if the taxes are higher for the owner compared to residential projects, the rental income is more than enough to cover all such expenses.
- Long Term Lease: Residential projects are given on a lease for 11 months on an average, but commercial projects ensure fixed rental income for a period of 9 years, thus giving stability of income!
Plan smartly and invest carefully to not only safeguard but also enhance the return on your investments by opting for commercial real estate! Invest in income generating Assets and the best ones are retail Shops get best Retail options in Gurgaon visit goldenbricks.in