Real estate is one of the most favored types of investment in India. It carries less risk compared to other types of investment. But it’s important to understand how to make the most of your real estate investment for maximum returns. This is especially the case for residential property investment. For such investment, property location and amenities make a big difference.

In the last few years, Bangalore has emerged a realty hot-spot for investors. Any property in this buzzing city offers a sound return on investment and a steady flow of rental income. Large housing projects are coming up here to meet the demands of young professionals flocking to the city. So, this is high time to invest in properties like Provident Park Square to fetch great returns soon.

Things to Know Before Investing in Real Estate

The demand–supply factor : There has been a steady rise in the demand for residential real estate in India. In fact, market research shows that there is a shortage of appropriate residential properties.

This is especially the case in big cities like Bangalore, Mumbai, and Hyderabad. People from smaller towns and other cities tend to flock to these metros for job and business opportunities. Owing to this shortage, the demand for residential property is not going to abate any time soon. In fact, some experts believe that it may only increase over time.

Research and scrutinize : You may have your eyes on a certain property. Before you sign on the dotted line, you should do thorough research. For starters, you can check up the builders in question. Scrutinize their track record and previous properties. Get feedback from people who have bought houses from the same builder. You should also check the area/locality of the property.

Consider other important factors like the proximity of the property to schools, hospitals, offices, and the main road. Are you buying in the right location? Is the builder honest? Are you satisfied with the amenities? These are some of the essential queries to make before you buy a property.

The ongoing market rates : Market rates of residential properties tend to increase over time. But before you invest in a property, check the current market rates. You should not fall prey to unscrupulous people. Also, check if the property rate is abnormally low—this could be a sign of that something may not be up to standard. In the worst case, there is foul play involved.

The cash flow equation : You must possess a clear idea of how much you will be spending on your property investment. This should include not just the property price, but also stamp duty and registration charges. Plus, most people take out home loans for buying property.

You must factor in the interest component of the loan as well. Make sure that you can afford the monthly EMIs. Repaying the home loan should not cut into your living expenses too much. It should be a healthy balance. If you rent out the property, you can use the rent to pay off the EMIs.

Property investment is a long-term investment : Many new investors make the mistake of viewing a property as a medium-term investment. The truth is, real estate is a long-term investment. To maximize your returns, you need to hold on to it for a long time.

It’s not something that gives instant returns. The real estate market has its highs and lows. This is one reason why you should invest in a quality property like Provident Park Square Bangalore. Located in an up-and-coming location surrounded by greenery, it offers luxury and homeliness in one place.

Check the age, quality, and condition of the property and amenities : Residential properties like Provident Park Square these days have a lot to offer to their residents. You can get acres of greenery, a gym, clubhouse, swimming pool, basketball court, and much more all on one property.

So, do check the amenities on offer. You must also check the quality of construction materials used. If it is an older property, then check the age and condition of the property and amenities. The building should be strong and not cracking in places. The amenities, including the elevator and staircases, should be well maintained. The property should be attractive and in good condition.

Untangle the financial knot : Investing in a property involves a large sum. It may not be possible for you to arrange the money at once. This is where banks and non-banking financial companies (NBFCs) like Bajaj Housing Finance Limited come into play.

You can take out home loans from these lending institutions at affordable interest rates. Bajaj Housing Finance, for instance, offers a maximum loan amount of Rs.3.5 crore. You can pay off entire sum with interests over a long period of 20 years with the help of easy monthly installments.

The bottom line

Property prices are always soaring in a happening city like Bangalore. As the demand far exceeds the current supply, the demand for property is going to reach a crescendo anytime soon. If you want to take its advantage, now is the time to invest in a premium property like Provident Park Square.