Real estate as an investment option is a huge deal for anyone, this is one of the reasons why buying a property in Kandivali East is an aspiration of many but renting flats in Kandivali East is what most can choose. There are many factors like increasing land prices, your affordability, the temporariness of your living purpose, and so on why you would think renting is more feasible.
Reasons to buy property in Mumbai:
Better loan deals on homebuying:
According to the new norms of the government after the demonetization, there are numerous banks and housing finance firms that have tweaked their home loan rates. The rates have dropped by a high number of rate points overall, especially because the government has tagged its involvement in this movement. This is applicable to the ones who choose to get their homes with real estate developers in Mumbai via the secondary market. This means that owning a home now costs less which helps you plan your further investments.
Jump in the rental yields:
A rental yield is the ratio of the annual rent of any property to the total cost of the property. The number of new projects in Mumbai has increased so much that the rental market has more options than ever, causing the average rental yield for residential units to come around 2 percent. However, Mumbai is a highly demanded location giving better yield. Once you buy the property, you can rent it and get a good yield which is higher than the EMI that you have chosen for buying the property.
Homebuyers have more benefits:
The Real Estate Regulatory Act has brought some changes to the real estate market where the buyers are an advantage. This means that if residential projects in Mumbai are in a delay of being delivered then the builders must pay the buyer the interest which they would be paying their EMI to the banks. Homebuying creates the required security for you to know your investment is safe and potential of giving you better-promised returns.
So in conclusion, renting a home is convenient for you until you realize that you will forever be stuck in the loop of earning the money and losing a big chunk of it to someone else’s owned property. Buying the home not only brings you the power to convert the investment into a way to increase the value of it but also create methods of sourcing it to earn more.