First what is Pre Rented Property in India it is a property that has tenants already utilizing the space and it is being sold on the market is called pre-rented property.
Many Investors earn a handsome income by investing in pre-renting their properties. In the present time when most the places have been developed, demand for residence, shops, and offices has grown up, this type of investment strategy is proven some incredible stability.
Whether it is a residential, commercial, or mixed property, It one of the main ways Investors benefit from the real estate markets. If you’re thinking of expanding your real estate investment portfolio with pre-rented properties in India, here are some of the benefits you should know about
The Advantage of Open House
Property with tenets already in the vicinity draws greater customers for the assets, giving a bonus If you ever wish to resell the property. Also, you may deal with the fee of repair & maintenance using the monthly profits in the form of the rental.
The Advantage of Automatic profits from Day Zero
Suppose you put money into an asset. Now in case you need to earn from it, you want a tenant and now and again it takes time to occupy your area. But withinside the case of purchasing pre-rented assets, you begin incomes from the first actual day.
One of the essential advantages in buying pre-rented residences on the market in India is the assurance that you’re going to get hold of constant rental earnings for the subsequent three years and also you need now no longer require finding tenants again.
The Advantage of Tax saving advantages
You ought to pay 30% tax on the profits earned from the pre-leased assets for repairing and maintenance. Now that you have bought the property and it relies upon up how much you want to pay and what you cut from the taxes using the rented property excuse.
The Advantage of Easy Bank Loan
If you have a validated track record of success, in real estate, the financial institution can cough up to 90% of the loan on such residences; In fact, banking establishments favored pre-rented properties compare to the usual properties for the loans process.
The Advantage of Price Appreciation on Reselling:
You can display the preceding receipts for the previous couple of years to buyers that how a great deal you’ve got and how much you earned from the stated assets. Rental profits maintain to growth through the price of three% to 5% in each one or years in residential assets and as much as 14% in business assets.
A Word of Advice
Most people invest in real estate to earn money and investing in pre-rented properties in India is really fruitful, so, you can do it too. Contact us today.