Get the Tata Capital App to apply for Loans & manage your account. Download Now

Blogs SUPPORT
Loans For You
Loans for Business
Investment
Insurance
Apply

Quick Links for loans

Quick Links for Insurance

Investment

Offers Quick Pay
Back

Equipment Finance

Avail Digital Equipment Loans
up to Rs. 1 Crore

  • Attractive ROIs
  • Customizable Loan tenure
Know More
Back

Equipment Leasing

Avail Leasing solutions
for all asset classes

  • Up to 100% financing
  • No additional collateral required
Know More
Back

New Commercial Vehicle Financing

  • First time user
  • Retail and strategic Clients
Know More
Back

Used Commercial Vehicle finance

  • Repurchase
  • Refinance
  • Top up
  • Balance Transfer
Know More
Menu  
 
Apply Now

Tata Capital > Blog > How to Earn A Good Return On Your Property Investment?

Loan for Home

How to Earn A Good Return On Your Property Investment?

How to Earn A Good Return On Your Property Investment?

Real estate investing is less volatile than other investment products. Such investment has offered good returns to many investors both in the short as well as the long-term. Investors are also able to earn periodic income through rent. Property investing offers tax benefits making this an excellent avenue to earn a higher return on initial investment.

An ideal real estate investment provides at least 10% annual capital appreciation.  Here are five points individuals must consider for earning good returns on their property investments.

1. Invest in developing areas

It is recommended that investors look for growth areas instead of investing in established locations. Generally, the property prices in established areas are higher and out of reach for the middle-class investor. If a person still wants to buy a property in such a location, it is advisable to settle for a smaller place or opt for a housing loan. Additionally, the potential price increase in growth areas is more than established locations and offers better returns.

Additional Read: What are the Top Locations to Buy A House in India?

2. Purchase real estate that has  amenities

When an investor buys a property in close vicinity to amenities like swimming pools, playgrounds and parks, shopping complexes, and multiplexes, getting a higher return and more rent is likely. If there are extension plans to include amenities near a property, it is still advisable to invest in it. In most cities, upcoming projects offer several amenities to lure more investors.

3. Property must be well-connected through public transportation

Buying a property that is connected and easily accessible using public transportation is recommended. Almost every person needs to travel to work; however, not everyone drives a car. Investing in a property that is close to public transport, such as metros or railways will provide better income through higher rent.

4. Must have schools and hospitals nearby

Opting to invest in a property that is located close to basic facilities like schools and hospitals is advisable. Although the prices of such properties may be higher, the rental income will also be more than other locations. In case an individual does not have the required funds,  applying for home loan is a good idea as they are easily available from most financial institutions in the nation.

Additional Read: Buying a House? Make Sure to Follow this Home Buying Guide!

5. Potential scope for commercial enterprises

Investors must be aware of possible locations where large corporations may consider relocating or are already established. In such cases, the companies have the need for additional residential space to meet their employees’ requirements. Therefore, the prices for properties in these locations may increase.

Several individuals opt for a home loan to fund their property purchase. It is important that individuals check their financial situation before making a decision about which property to invest in. It is also important to consider the home loan interest rates and other charges, such as processing fees and legal expenses.  However, by keeping in mind these pointers and investing accordingly, property investments will give great returns.

Apply Housing Loan Online

Say Hello to Your New Home with Our Easy Home Loans!

Apply now
Popular Searches
anyror modt charges 712 utara online gujarat pre emi calculator earnest money deposit Goa Land Record earnest money khasra number meebhoomi Assam Land Record
Disclaimer

Most Viewed Blogs

Trending Blogs

Calculator

Personal Loan EMI Calculator

Personal Loan EMI Calculator
Home Loan EMI Calculator

Home Loan EMI Calculator
Business Loan EMI Calculator

Business Loan EMI Calculator
Used Car Loan EMI Calculator

Used Car Loan EMI Calculator
Two Wheeler Loan EMI Calculator

Two Wheeler Loan EMI Calculator
Loan Against Securities Calculator

Loan Against Securities Calculator
Loan Against Property Calculator

Loan Against Property Calculator
More Tools
Our Subsidiaries
Our Other Websites

Useful Links and Resources

Most Important Terms & Conditions - Home Loans

Download in your preferred language

Download

Policies, Codes & Other Documents

Most Important Terms & Conditions - Home Loans

Download in your preferred language

Download

Tata Capital Solutions & Services

Uh oh, something went wrong

Please try again later.