By Boman Rustom Irani - Lately, real estate is not really basking in the glory of a good reputation. Things like real estate bubble, not a buyer’s marker, increased supply without demand, stuck up projects because of FSI issues, are commonly heard statements. So in this gloom scenario, are you planning to invest in real estate? Real estate mogul Boman Rustom Irani gives you tips on investing in real estate, read on to know more:
1. Be realistic about your expectations while investing in real estate. Is it a short term investment or a long term one? Have you checked the background and other projects of the real estate company you are going with?
2. What kind of project are you investing in? Is it an under construction project or a ready one? Are you paying in slabs or paying everything upfront? Are you planning to pop it off before it’s ready and the value is appreciated or are you planning to hold on to it till you get possession? Is renting it out part of the plan?
3. Do you have any prior experience with real estate investments? If not, speak to a legal advisor, your friends who have invested in real estate and weigh your pros and cons.
4. Don’t invest in multiple projects unless you have a proper plan in place. Some people think it’s a great idea to invest in three or four projects by paying the minimum first slab and then selling them all in between. This type of a plan can be very heavy on your pocket, if the market takes an unexpected route.
5. Study the market trend, check out various projects in person and do a thorough background check on the real estate company you are planning to invest in.
Just like any other form of investment, with real estate too you should safeguard yourself first and not take any unnecessary risks by getting lured with short term gains.