If you want to know which is better option for investment, Residential plots or residential flats in India, here is the tips.
Residential plot are better option, if you are looking for better return of your investment in case you are certainly going to sell the property after few year. Almost all plot value will not decrease in future for sure, because lands is limited resource and it is in very high demand. There is no other cost involved in future in plots. people from India prefers purchasing plots rather than putting the money in bank or investing in stock market.
If you invest in Residential flats, you will sure get monthly income from the rent, but the properly value will not increase too fast in compare to residential plot. Once your flat will get older, its value may decrease in price, you need to repair your flat on regular basis. Average life of flat is 40 year.
Return of flat from the rent is nearly 10% yearly of your investment. Advantage of investing in flat is that you will get instant fixed monthly passive income (rental income) and you can invest money at low value as flats cost are less in comparison to plots. There is very low risk involved with flats in comparison to lands.
So in conclusion, if you have less money for investing in property and you want regular return, go for flats. If you have large amount of money for investment and you don’t need quick money for 1-2 year and your are capable of bearing high risk of fraud, go for purchasing plots, on average, rate of plot will get double in 3 year if you purchase plots near developing area.