subject: Is Investment In Residential Properties In India A Means Of High Returns? [print this page] Investment in residential properties in India is a sure means of high returns. Real estate market on the whole has been on the upswing in India for the past several years barring the recent slump in the backdrop of the world economic meltdown. Industry veterans say that in the main metro centres of India residential properties have registered a consistent annual appreciation in the range of 20 to 25 per cent for the last several years. Among the urban centres, Delhi, Bombay, Madras, Calcutta, Bangalore, Hyderabad, Pune, and Gurgaon have shown the highest level of value addition in the recent years.
In the latest survey, as to whether investment in residential properties in India is a sure means of high returns, it has been revealed that in the coming years the Indian real estate market, particularly the residential property sector, will show marked increase in appreciation and value addition. On a wider perspective, the projected growth would essentially emanate from the higher national growth that India would have in the coming years. Estimably, midway through an era of recession, India along with China is bound to register a growth of 7-10 per cent in the coming years. This over all growth is expected to directly push the real estate market in India. Already, the signs of the world recession are fast retracing from the Indian property market and now a new fillip is felt everywhere, especially in the residential property sector. Hence, from investment point of view, residential property investment in India is going to be a lucrative option in the coming years.
Residential property investment in India can yield high returns because of other reasons also. It is because of the growing commercial significance of India in a global perspective. In the new and emerging transnational economic equations, the Indian subcontinent is perceived as major world market. It is a region in the process of a huge metamorphosis taking across the continent, a metamorphosis from the state of a developing region to one of developed. In the process, a heavy developmental process in the form of infrastructure development is taking place in this part of the world. As a corollary, the caravan of trans-continental business entities made a beeline for the India subcontinent. In consequence, there is an unprecedented presence of most major multinational corporations in this region. These factors have a collective influence in the residential as well as commercial property sectors in India and investments in the sector are bound to yield high returns.
