While we start this topic, we need to answer ourselves on certain questions like, 1. Am I investing for my future home or purely an investment perspective? 2. What is my budget? 3. What is the time period of my investment? 4. What is the size of plot I want to invest? 5. Where should I invest, in North or South or West or East Bangalore? These are the 5 basic questions mandatory to choose a right project. I will help you out to reach a right decision..
1. Am I investing for my future home or purely an investment perspective?
If I am investing it for my future home then I will ask myself after how many years I want to build the home and whether it will have basic necessity around my plot like schools, daily need shops, hospital are atleast reachable in 10 to 30 minutes when I will be finishing building my home. So basically, major things to be looked into is if I am building home immediately then I should have all these basic needs in and around. And if I am building it later then these needs should be available at minimum distance.
PlIf I am buying a plot purely for investment then i should look into various points like Basic necessities, future developments in and around the project, any govt projects are announced and will those be operational or under development when I want to resell the plot. What kind of developments are going to come in and around like commercial, hospitality, industrial, entertainment, etc., and what kind of appreciation can be expected accordingly can be derived.
2. What is my budget?
I am a middle class man and I always think about my budget before investing. And I would prefer having a bank loan to purchase the plot and build a home. If I have a budget of Rs.30 lacs then Rs.10 lacs is for plot and Rs.20 lacs to build a home. And if it’s only for investment then any RERA approved project will have plots starting from Rs.8 lacs onwards minimum. Bangalore outskirts does have such projects and companies offering such plots with bank loans so we do not see anyone will have concern of budget problem to purchase a plot.
3. What is the time period of my investment?
If I am buying a plot purely for investment then I always should prefer low budget plots with all the approvals and RERA approval along with bank approvals as well as the investment time period should always be 6 to 8 years and above. Longer the time period better the returns.
4. What is the size of plot I want to invest?
Two things, if you are buying a plot to build a home then you are a good judge what are you looking at. And if you are buying plots for investment then always prefer for 1200 sft or 1500 sft plot. Secondly if you a big budget then divide it in multiple projects in little distance or different regions. Never put it in same project.
5. Where should I invest, in North or South or West or East Bangalore?
This question is very easy to answer if you want to build a home because you know where you to want to have your home. And it’s difficult to decide when you are looking for investment. It is difficult because Bangalore is growing 360 degrees as I told earlier. Now which is growing at what pace is important. Every area has it’s on importance and positive things. But it becomes easier to decide only when you compare the upcoming developments and govt projects starting. So always decide based on future developments happening.
Please make sure, you are not confused while making decisions. Do research, if you are confused and then arrive to a conclusion. Now, I hope you have an answer for first question. We will look into other questions in future blogs.
Pankaj Kumar S