The Right Time to Invest in Real Estate is Now
With the deliberate opening of the economy and both the government and real estate developers offering a platter of incentives, people are reinforced to think over their investment portfolios and real estate seems to have a status of a safer and stable investment. Also, lower interest rates on home loans add to the lucrativeness of the "opportunity to buy now" as the interest rates are at a level from where it is only going to head upwards. If you are looking forward to investing in real estate, the best time is now. Here’s why.
Reduced home loan rates
In India, the prices of residential property have been static over the past 5-6years. But the post covid situation has made the transition in home loan rates to be an all-time low, conducive for home buyers. Additionally, RBI has also announced the reduction in the REPO rate which makes home loans even less expensive. This decline in home loan interest rates and repo rates have triggered people to invest in homes, boosting the real estate sector with the increase in cash flows.
Facilitative Stamp duty
The Maharashtra government has recently endorsed a reduction in stamp duty rates from 5 to 2 percent. This reduction could save an amount of approximately Rs 2-3 Lakhs for end-users, depending upon the price of the property. Potential buyers looking for investing in and around prominent cities like Mumbai and Pune have the best opportunity to seek flats in Thane, Mumbai. With the Central government urging other states to follow the same, one should not have second thoughts about if it is the right time to invest.
Exciting offers & Better deals
Developers are offering innovative payment plans and freebies to overcome the issue of inventory overhang and strengthen sales. With substitutes such as ‘no EMI till possession’ and ‘booking a home with just 10% down payment’, this is probably an optimum time to negotiate with developers. Moreover, NAREDCO registered developers in Maharashtra have decided to exempt the stamp duty for the home buyers.
Real Estate- A tangible and safer investment
The year 2020 has brought various fluctuations in the market which have affected the dynamic nature of high-risk investment instruments such as stock markets. Whereas, real estate being stagnant has proven to be a safer and more stable investment. Since real estate is not traded on the exchange of goods, prices will not vary overnight.
Therefore, this year seems to be an ideal time to buy properties in Thane and flats in Pune. Covid-19 has created such rosy opportunities for homebuyers, that buying a home seems like the best bet now.