Why Invest In Retail Shops?admin
Investment in a second property, if not for residential purposes, should be made factoring in the cost-benefit analysis. Keeping in line with this thinking, investment in retail shops is such a financially lucrative idea.
Let’s take you through the benefits of such a decision:
- Income & Returns: A shop, in the right area, can generate higher rental income than a residential property. Rental yield can be in the range of 9-12% on an average and if the location is apt, property appreciation shall also be higher over the years
- Easy Availability of Tenants:A retail shop can be used by doctors, Chartered Accountants and such professionals or banks can hire them as ATMs. Hence, the property can start generating returns almost immediately
- Stable Investment: A retail shop is a stable investment and can last for generations provided it’s in a good location and properly maintained. This is because it caters to commercial interests and business is an ongoing activity
- Easy to Sell: There’s always a need for commercial space in the city and in case of want for liquidity, it is easier to sell the shop compared to a residential property
- Fits into Pocket: One need not invest in a costly property to start off a retail shop. There can be a shop in a residential complex, in local market, a mall or a high street. Depending on the location, one can buy a shop suiting individual budgets.
For a long-term and sustainable income, investing in a retail shop is a smart idea that offer healthy returns on investment as well.