Somewhere down the line it is daunting to bend the statement that “commercial is better than residential” but according to the facts and market behavior as well as investors action it is clear that commercial properties are one step ahead and ahead of the field when it comes to capital appreciation where expected value (EV) comes out of the blue.
Along with this, 8-12 per cent assured return, high capital appreciation, low risk factor, long term security, strong demand, etc. are few perks that come with commercial investment which not only creates a genial effect on the investors but in bigger term it gives ease in invest.
Residential allures but bores
Everybody needs a place to live in and that to a space which is crammed with every possible element to grow better but the point to notice: For this home buyers need a big capital investment and even they can’t urge for perks like which is available in commercial sector.
The rate of appreciation is more in commercial properties because of its high demand where IT sectors, MNCs, banks, BPOs, etc. are entering to grow at its high stretch to increase the job opportunities and expanding technologies, business, profits, work scale, etc.
Even the rent rate in commercial properties are much higher than compare to residential properties, so one can get enough out of it that too monthly. Also, even if the market is not amiable, then also the scope of gleaning rent is optimistic and is in progressive stage.
The chance for possession holdup is less in the commercial properties as heavy investors involved in the property so all the builder is more liable to handover their project on the given time to form trust and reliability.
Even the amount of stress in commercial property (KPDK Best Western Townsuites, Bestech Park View Altura) is rare because the main concern in commercial property is location and builder whereas in residential properties you need to check-out umpteen of things, so in short, the amount of precaution and the rate of perplexity are least.
Assured return major attraction in commercial property
Assured return is another luring point to connect with as the investors or buyers start gaining profits from the day they invest. The concept of Assured return started in commercial properties where one put their capital with the hope that they will make enough money about of it. Today, people putting money in bank accounts or savings is not a very smart decision as one doesn’t get enough out it as compare to the investment in commercial properties (which can be office space, retail space or serviced apartments/suits/studio apartments) which is far better and a smart decision to count as achievements.
Retail space is another big scope
Other than the office space retail space and serviced apartments/suits are also in good demand because of the growing economy where domestic and various international brands like H&M Emporio Armani, Furla, Bottega Veneta, etc. are making their fine presence where the demand for retail shops are boosting at great rate. Whereas, suits are another alluring property type where several investors are putting their capital into it to enjoy jaw-dropping monthly rent and in short, it is an investment to relax where you put your money the rest of the work is done by the builder itself, they manage the tenant, holder to give you ideal expected returns all the way through the time and even you can get top sale value which is unbeatable at the same point of time.
Tourism is another vital and impactful aspect which has a great impact on the hotels (serviced apartments/suits/studio apartments) as tourists look for a space where they can get real comfort and luxury so that they have trouble-free stay and other than that the big role playing companies like cleartrip, tripadvisor, goibibo, oyorooms, Zorooms have a vast hand in promoting reputed hotels where the visitors and owners both get the right comfort where it becomes easy to escalate business of the respective owners and visitors get best option to make a stay with all facilities inside.
Rising income rate, changing lifestyle, genial policy & regulatory support by government, zeal for better experience all these are playing pivotal role in shaping the travel and tourism sector in India where it is speculated that 12 per cent growth rate during 2013-2023 will give enough benefits to the same sector as well as other attached sectors.
Hotels another big investment option
So it’s not only the office space and retail shops which are in active mode, even suits and serviced apartments are also much in call where investors are looking for such investment space where they get a platform to grow capital and be an owner of an authentic property which has long lasting effects to come in a heavy use.
One with good capital saving and one with vehement investment can opt for commercial property with different options to growth capital, growth status, growth profile and grow investment.
Real estate web portals great help
As well as many reliable real estate web portals are available today where not only the option but you will see plenty other good information about real estate industry so that you can know more about it and get a hand on how investment can change your portfolio? What precautions you should take while you are investing? And much more sections you will get, so now selecting property is not a herculean task as mammoth of properties are existing which are lucrative as investment point of view and if it is commercial then it is tremendously beneficial to grow with satisfaction to enjoy the sense of success.
Author Bio :
This article was written by Manish Kumar. Manish is a professional content writer and landscaping enthusiast. he works for hcorealestate, a India based company that offers real estates guidance services.
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