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Benefits of Investing in Kolkata Luxury Real Estate Industry

by Pratik Balasaria - 16 Aug 2022, Tuesday 183 Views Like (0)
Benefits of Investing in Kolkata Luxury Real Estate Industry

Gone are the days when people used to save money simply in bank accounts. Today, investment is the new means to build wealth and make the numbers grow. Real estate investment has become one of the major pockets for investors who aim to get good returns on their money. This form of investment also makes a great source of passive income as well as yields a good flow of cash. When invested after thorough research, properties generate exceptional returns. Residential properties in K???????olkata offer the opportunity to get good deals on luxurious real estate and therefore, attract innumerable investors. Letís take a look at the benefits of investing in luxury real estate in Kolkata.

  1. Steady Flow of Cash- As an investor, knowing how and where to put your money is important. Investment options in real estate offer long-term benefits that allow for continuous returns. Real estate, be it residential or commercial, is a safe investment in terms of quicker returns. Contrary to other forms of investment, you can expect quicker returns when it comes to this form of investment.
    The demand for luxurious residential properties, especially during and post-pandemic in Kolkata, makes it appealing to investors. Income through monthly rents, therefore, provides comparatively better returns than stocks, fixed deposits, bonds or mutual funds, etc. NRIs as well as the retired population prefer to buy residential properties in Kolkata because of additional income as well as the value for money.

  2. Tax Benefits- Investing in real estate not only means a safer investment option but also enjoying several tax benefits. Real estate, both commercial and residential, enjoy several tax advantages. Particularly for residential properties, the investors get additional tax benefits from the income generated from the properties. In fact, residential real estate investors in Kolkata enjoy several tax write-offs, especially when a home loan has been taken. Depreciation is a tax-deductible expense for real estate investors who own commercial rental properties that generate income. As a result, you will be likely to have a lesser tax liability and less taxable income.

  3. Great Scope of Appreciation- Investment markets can be quite volatile with frequent lows and highs. One of the best advantages of investing in real estate is that its value appreciates with time. This way, real estate outperforms other forms of investment. The value of real estate depends on several factors, including location, connectivity, transportation as well as infrastructural development.
    Naturally, the appreciation value of residential real estate properties also depends on the demand of the location. The more developed the area, the more the value. Also, with commercial properties, the amenities and specifications available determine the ultimate appreciation value. As of 2021, property values in Kolkata projected a growth of 10% by the next few quarters.

  4. Affordable Luxury Properties- Unlike other metropolitan cities, residential properties in Kolkata are affordable. Besides, the developing IT industry in the city has made it a top choice for several multinational companies. As a result, neighbourhoods around New Town and Salt Lake are the first picks among the population employed in these major hubs. Semi, as well as fully furnished premium apartments by eminent developers like PS Group, make it lucrative for investors and buyers.
  1. Financial Security- Investment is always associated with risks. Things can change in an instant in the market. Real estate offers potential security since property value appreciates. Unlike other investment options like liquid funds, crypto, deposits, and bonds, properties are an asset. Real estate in Kolkata has shown potential, even when the overall market has fluctuated. Further, investing in residential properties guarantees having a roof that can be passed onto future generations. 
  1. Scope of Leveraging- Real estate is a leverageable asset. It can be used to build your wealth by leveraging cash-on-cash returns and returns on investment (ROI). One can buy residential properties in Kolkata by merely putting down a portion (10-30%) of the whole cost and borrowing the remaining amount. There aren't many investments available that let buyers purchase assets with a higher cost than they pay. This gives investors the scope of paying the interest from the returns, besides making money from the same.

Cities like Kolkata possess all the potential to emerge as a definite market favourite. This is because other large metropolitan cities like Mumbai and Delhi have already been facing market saturation. Further, since practically anyone can invest into real estate, residential properties in Kolkata are fantastic means to get started on an investing journey