Are investing in Pre-rented Properties in India worth it for the long term?

To begin, let’s define pre-rented property in India: it’s a property that already has tenants occupying the area and is being sold on the market. Many investors make a substantial profit by pre-renting their houses. This form of investment plan has shown great stability in the current day, when most places have been developed and demand for residences, shops, and workplaces have increased. It is one of the primary ways in which investors profit from the real estate markets, whether it is a residential, commercial, or mixed property. If you’re considering adding pre-rented properties in India, these are some of the advantages you should be aware of.

  1. The Benefits of an Open House: Pre-rented property in India with occupants already in the area attracts more clients, providing a boost if you eventually want to resell the asset. You can also use the monthly income in the form of the rental to cover the cost of repair and maintenance.
  1. The Benefits of Automated Profits from Day One: Assume you’ve invested in an asset. Now, if you want to make money from it, you’ll need a renter, and finding one can take some time. However, in the case of purchasing pre-rented assets, you start earning money on the first day. One of the most significant advantages of purchasing pre-rented homes on the market in India is the certainty that you will receive consistent rental revenue for the next three years and that you will not need to locate renters again.
  1. The Benefits of Saving Money on Taxes: The earnings gained from the pre-leased assets for repairing and maintenance should be taxed at 30%. Now that you’ve purchased the property, it’s up to you to decide how much you want to pay and how much you want to save on taxes by claiming the rental property exemption.
  1. The Benefits of a Simple Bank Loan: If you have a proven track record of success in real estate, a financial institution may be willing to loan you up to 90% of the value of the home; in fact, banks prefer pre-rented homes to traditional properties when making loans.
  1. The Benefits from Price Appreciation: You can show purchasers your past receipts from the previous couple of years to show them how good of a bargain you obtained and how much money you made from the mentioned assets. Rental profits continue to rise at a rate of three to five percent per year in residential assets and as much as fourteen percent in commercial assets..

A Word of Advice

The majority of individuals invest in real estate to make money, and pre-rented properties in India are extremely profitable, so you may do it as well. Please contact us right away.

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