Since time immemorial, investing in a property has been considered profitable. A typical portfolio of an Indian investor includes traditional fixed deposits, stocks, mutual funds, gold and land or a property. Though stocks and mutual funds are knows to fetch quick returns, real estate still score over due to several reasons.
Sense of ownership: Investing in a property gives to a sense of ownership. That’s precisely why everybody wants to buy a home. Moreover, being a tangible asset, it also gives a sense of security to an individual. Now a day’s people looking over property for sale in Mumbai as they start considering it as asset for long term.
Lower Home Loan Interest Rates: In the last few years, several initiatives have been announced by the government to encourage people to buy a property. One of them is lower interest rates on home loan by continuously slashing repo rates. And with the recent rate cut, the interest rates are likely to come down further. With this lower rate of interest offer from different bank everybody is fighting to owned house for sale in Mumbai .
Steady Income: Having a property can give you steady monthly income in the form of rent. Understanding the benefits, many have made this as their major source of income. In case you have EMIs to pay-off, renting your property can be a good option.
Tax Benefits: If you take a home loan route to buy a property, you can also enjoy tax benefits. This is applicable for both- the principal amount and the interest being paid. Under Section 80 C of the Income Tax Act, 1961 you can claim up to Rs 1.2 lakh on the principal. You just need a completion certificate to claim this rebate. This clearly indicates that the returns cannot be claimed for under-construction property. On the interest amount also, you can claim up to Rs 2 lakh under Section 24 B of the IT Act.
Healthy Returns on Investment: Whether you are putting the property on rent or in the market for resale, it is going to fetch healthy returns. When people are in need they start thinking to sale their property and in revert they get reply from different agent, broker that people are looking for Apartments for sale in Mumbai in their area.
Pro-development Policies: From passage of Real Estate Regulatory Authority (RERA) Bill to lower interest rates to increased Foreign Direct Investment (FDI), government is taking several initiatives to boost real estate in the country.