Investment has always been a subject of concern, but what matters is a smart investment. Only a smart investment has the capacity to change our lives. We all invest in different places so that we get sufficient funds for our future. We have different options to invest in, be it stocks, gold, bonds, government schemes, etc. but the smartest out of all is Real Estate.
History has been the proof that kingdoms have fought over many battles just for the land. Real estate never loses its demand or value; in fact, it grows over time. This is why investment in real estate is the safest and most lucrative option. Moving out from one’s native city and buying property in the upcoming smart cities is also a good option. For the first time, a list of twenty smart cities has released this January that boasted quite a few cities which may not be among the popular residential markets today, however with time will develop significantly with good public infrastructure and sustainable real estate, communications and market viability. The passage of the Real Estate Bill will also play an important role in the Smart City story by protecting the interest of buyers and ushering in more transparency in a sector notorious for opacity. One must verify the rates with more than one vendor and check the legal papers before jumping to any conclusion. Keeping patience is of utmost importance while checking out properties for investment. Analysing the pros and cons and researching on the future value depending on the growth prospects of the present is of key importance.
This year’s Budget and the government’s Smart City push have together brought good news for home buyers. During the Budget, the Finance Minister extended the construction completion time period for getting tax breaks under Section 24 from three to five years. Secondly, the tax benefit for buying a house on loan was increased with the FM announcing an additional deduction of Rs 50,000 under Section 80EE.
Twin cities Bhubaneswar and Cuttack are among the fastest growing IT and educational hubs in the east. This, in turn, has boosted real estate development. As most of the available land is government owned, the real estate market is well-regulated.
Visakhapatnam, commonly known as Vizag, is the largest city in Andhra Pradesh in terms of area as well as population. It has one of the largest harbors of the country and is the commercial hub of the state. Visakhapatnam has been drawing the attention of real estate investors. Since 2010, the city has seen good demand for plots and apartments.
Chennai, the capital of Tamil Nadu is largely a final product-driven market, making it less prone to speculation. North Chennai is predominantly industrial, while central Chennai is the most developed part of the city with established commercial and residential markets. South and West Chennai, previously predominantly residential areas, are fast turning into commercial zones, hosting a large number of IT and financial services companies.
The ‘Manchester of South India’- Coimbatore, with its booming textile industry, is the second largest city in Tamil Nadu. The city’s activities have diversified beyond textile in recent years to include general engineering, automobile parts manufacturing, and IT/ITeS. Earlier, real estate activity was driven by small commercial developments, offices of local businesses, high street retail, and individual houses.
Kochi is not only on the government’s smart city list but also has gained popularity on the map of many new IT businesses. Apart from being the commercial hub of Kerala, developments such as privatization of the international airport and upgrade of the seaport have brightened the prospects of the real estate sector in the city.
Although these prospects may seem lucrative, there is also a high risk involved. Therefore it is highly recommended that one must go through all the legal documents and discuss the takeover process with a lawyer to ensure smooth investment.