India’s rapidly expanding economy and unprecedented developments in the real estate sector makes it a very appealing investment opportunity for the NRIs. Investment in real estate provides many advantages such as tax benefits, expected returns, and even relatively lower investment as compared to other opportunities.
Given that the Indian rupee is currently trading at a rate of 80-85 rupees to a dollar, and with offshore earnings, it makes real estate investment quite affordable and profitable. Savings alone earn hardly anything. However, real estate allows the investor to earn money through earned income via rent or appreciation in value within a period.
Having such property allows non-resident Indians who travel to India once in a while to do away with the discomfort of getting accommodation in hotels or living with friends or relatives. Such property can be used as a tool to introduce children to the Indian culture. If you don’t plan on going there often, leasing your property is a good way to make more money.
Compared to other options like gold, fixed deposits and investing in the share market carry high risks and offer meager returns, but real estate investment guarantees better financial returns. Earnings through rental income and an increase in property value are far better than expected through other usual forms of investment.
The NRI investor in real estate in India has a fairly seamless investing process. Also, there are exchange rate benefits and tax exemptions, including exemption on capital gain taxes which eases the entire process. NRO accounts and other banking methods allow the NRIs to transfer money without major constraints.
The real estate scenario in India throws open a plethora of options for its property buyers, right from high-end luxury villas, gated communities, and even reasonably priced 1BHK and studio flats. This approach gives NRIs the option of investing within their maximum budget without compromising on specific property requirements.
A trend in India’s real estate markets is the increase in the values of real estate with time. Inflated properties bought at today’s prices will see a return or resale value of around 10-20% times more than the purchase price. The return on investment over the years is truly remarkable.
India is currently the second most populous country in the world with its total population being over nineteen hundred million people which means more homes will be required to accommodate these people. This demand will make real estate a good business whether you decide to rent or lease your house.
Buying property in India comes with many perks. You can save on taxes, sell for a good price later, find affordable options, and see your money grow. Just make sure you've got all your paperwork to make the registration go. Take a look at what this lively market has to offer.
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