India has always been a favorable investment option from the prospect of the real estate market. But over the last few years the momentum of the property market has gone down. The high property price rates coupled with the bad economic growth have made property seekers skeptical about investing in the market.
Real estate market is always in demand
Instead of its weaknesses and low profit making this is one industry that is always in demand and this is one of the reasons why investing in real estate market is still a desirable option among the people. Real estate plays a very vital role in terms of the investment aspect as well as the pride tied to the ownership of the realty business.
Residential and commercial real estate are different
You also need to understand the fact that real estate investment doesn’t always fetch you with good returns and all real estate agents in Chennai or any other part of the nation is not successful. There have been several situations and events when good investment deals in real estate sector have turned out to be unsuccessful for the investors. The residential and the commercial property markets respond differently to the conditions.
Residential property is preferred
It has also been studied that the investors seem to have better knowledge and understanding about the residential properties when compared with the commercial ones. The demand for housing in the majority of the urban cities is very high. Thus, there is a surety of income inflow even from renting.
Rise of the commercial real estate market
According to the studies and the research work it has been reported that the yield of rental housing is quite high and thus residential realty market will always be on the upsurge. But from the current market conditions it is seen that the commercial property market in India is improving and there are more investors who are interested in such spaces as well.
Are you planning for a small scale commercial real estate investment?
If you are looking out for a commercial real estate investment on a small scale, you should definitely consider on small office spaces, shops in a neighborhood or a housing complex. Based on the amount of initial cost-up, returns, the related risks and the exit options along with other criteria steps must be taken to open up the small business.
Why shops are the most common preference?
If you are a new comer in the field and still doesn’t have the experience, you must begin the journey with the shops in your neighborhood market, a housing complex or a popular shopping mall. According to the statistics the returns can be as high as 9 to 10% every year and even up to 13% if your shop is at the prime locality.
Residential property market is always the preferred business among the Top real estate brokers in Chennai. Property broker app in India seems to be a very popular tool used by those involved in the industry in order to get detailed information about the property market and the ongoing conditions. You can make use of this app as well and keep a track of the commercial real estate market.