The current pandemic has taught us the importance of making better financial decisions. The last two years have been a period of consumption and not investment for many. People are now in the process of rebalancing their economies to focus more on investment and savings.
Investing in homes has been at the top of the list for decades. It has many intangible benefits like financial security, a place to call your own, and pride of ownership that are not always obvious at first but can be just as valuable as tangible ones. Property is a preferred investment for many because it tends to be less volatile. It provides more stability than other investments like stocks or bonds that can be affected by inflation or the upending Geopolitics that we see on the news every day.
We are Bhatnagars Real Estate, one of the best real estate agents in Pune. Our years of experience and market studies suggest that the value of a home can increase even if the other investment markets fall. A house with good amenities and open spaces will never go to zero as stocks can!
To check our blog on the growing demand for open spaces
Here are the benefits of choosing a dream home over other investment assets during the current times.
1. Price Appreciation
The covid-19 pandemic has had a profound effect on the real estate market. However, people have started investing their money in property. The prices of residential properties in Pune are rising at an unprecedented rate. The current price appreciation is due to high demand and changes in interest rates. Indeed, it is the best time for prospects looking to invest.
2. Low Home Loan Rates
The Covid-19 pandemic has led to a decrease in the number of people who can afford home loans. The RBI has reduced the repo rates to 7%. Interest rates have been significantly lowered, making it easier for people to buy a home. In addition, it is inspiring people who were considering other investment assets to buy a property and increase their wealth.
3. Risk-Free Investment Option
Earlier, we stated that real estate investment is one of the safest and most profitable investments. It has a minimal correlation with other asset classes. It is not as volatile as other markets. The value of homes usually rises rapidly over time, especially when you compare them to other types of investments. Also, the real estate market in India is showing an upward graph which means that there is a possibility of a sudden increase in value.
4. Tax Benefits
There are many tax benefits you can avail of on real estate purchases. Section 24 of the Income Tax Act provides tax benefits on ready-to-move-in property. It includes any property which can be occupied immediately after the purchase. A person can claim a deduction up to Rs 2 lakhs from the total taxable income under this section.
5. Profitable Home Rates
In the wake of the Covid-19 pandemic, the real estate industry has been hit hard. The pandemic has led to delays in construction, and the rates for homes have dropped. Now, developers are eager to sell their homes. If you’ve been waiting for the right time to buy a home, now you can enjoy the best of both worlds- attractive home rates and home loans.
6. Build Equity and Stable Source of Income
If you think about building wealth, think about investing in property. It is an asset that can be passed down to generations. It also helps to build an emergency fund and provides a steady stream of income every month through rent.
Investment in real estate is a work of patience. There are various strategies that one can follow while investing in real estate. But the most popular and effective one is to hold the property for a long time. The more you hold the property, the higher the return you reap. Can’t wait to invest? Come to Bhatnagars Real Estate, the seasoned property dealer in Pune. We provide a one-stop solution for all your property needs. From renting lavish apartments to buying plush bungalows in Pune’s prime locations, we have amazing properties in our portfolio you wouldn’t want to miss!
Hurry up! Connect with us to begin the search for your new home!