COVID19 has affected the overall economy of the world. Although real estate was also one of the industries affected by the ongoing pandemic, the impact isn’t as pronounced as other industries. In the last year, a lot of Indians have moved into their homes, or have made significant investments in real estate, especially in top cities like Bengaluru, Pune, Chennai, Hyderabad. Plotted developments are one of the most popular investments. There are several reasons behind this increasing trend. Perhaps the sense of ownership or the fact that most people were homebound has made them actively consider home ownership.
Here are a few reasons why plotted developments are an ideal investment option right now.
Unlike ready-to-move-in apartments or under-construction buildings, plotted developments are far more affordable for both investors and home buyers. Buyers get a chance to build a home of their choice along with all the amenities offered by the developers. The cost of investment on a plotted development in a developing area is far lesser when compared to a flat for sale in the prime locations of the city.
- High returns
Investing in land is perfect for those people looking at long-term returns. The price value of the small land parcels keep on increasing, especially in the developing areas in the cities. It also ensures better cash flow generation.
- Quick monetization
Small land parcels can be quickly monetized into revenue gaining or high return properties. Buying a plotted development is a smart strategy in the long run run. Properties that started out as ‘affordable’ 10 years ago are now reaping their owners 10x the price. It is easier for developers, investors as well as buyers to liquidate land assets than built properties for raising capital.
- Plot sizes and flexibility
Plots in various sizes according to your requirement are available when it comes to plotted developments. You also get to enjoy the luxury of designing and building a home that you desire. This is one of the top advantages of plotted developments. In fact, you can invest in a plot right now and build the home of your dreams when you feel like you are willing to make the financial commitment! Additionally, with increasing appreciation in land value over the years, you get higher returns on your plots.
- Lucrative investment
Undoubtedly, real estate investment is a lucrative investment plan for Indians. When it comes to plots, the entire value of the land increases over years. At the same time, when it comes to properties, only the land value appreciates while the building value depreciates over time. The capital required of the investment is lower compared to the amount required to purchase an apartment. A plot has minimal capital investment but assures higher returns with limited project execution risks and faster exit opportunity.
Besides the investment benefits mentioned above, plotted developments are gaining acceptance as the perfect place to live, especially post these COVID times. Even while living in a community, you are able maintain social distancing norms given the open spaces and physical distance between 2 homes. Plotted developments also offer a no-clutter living lifestyle with fresh air to breathe and a happy environment to live in. These places come with a wide range of facilities like parks, gym and open spaces to relax.
In an era of pandemics and pollution, there is no better option than a plotted development that can guarantee a mask-free living to you. There are no common areas like lifts, stairwells or foyers that your need to worry about. Additionally, the maintenance charges are very low and these homes could turn out to be a promising source of secondary income. These homes can be redesigned any time to working spaces or studying spaces without much hassle. You also get to enjoy the benefits of having no restrictions on parking spaces. In short, the life in a home designed by you for yourself in a plotted development will turn out to be more serene, calm and comforting.