Things to Consider Before Investing in Real Estate

1. THINGS TO CONSIDER BEFORE INVESTING IN REAL ESTATE Investing in real estate should be a well-thought after decision, after all in involves huge cash outflow. Real estate works parallel in different areas from residential to commercial to industrial. Different rules govern these categories and various market trends and positioning affects its value etc. etc. It is necessary to understand the nuances surrounding a property. Also the purpose of the purchase to plays a strong role in the purchase decision. Let’s go through some of the important factors to consider while buying different types of real estate properties. Residential Property Buying your dream house is one of the best feelings in the world. However, we shouldn’t let our emotions decide our future. Before finalizing on that deal, let’s understand few basic concepts for a fairer decision making. 1. Location: The location of the property plays an active role in decision making. The location also decides the properties demand value and rent pricing. Investing in a property which is located at a prime place or has the potential to become a prime place is always a good decision. 2. Apartment Size: investing involves huge cash outflow and is not a decision we can take every day. Therefore invest in flats in Malviya Nagar, Jaipurthat are bigger in size. The property rates are increasing daily, therefore, it is only wise to buy a bigger house now than trying to adjust in that small place.

2. 3. Built-Up Area: the price of the property is based on the super built-up area. Therefore before closing on the deal, find and calculate the built-up area as well which is exclusive of lift, garden, corridor etc. Built up area is generally 80% of the super built-up area. Remember to check this. 4. Builder Image:in order to avoid fraudulent activities and getting duped, do some research and read about the builder who is dealing with. Try to avoid purchasing under construction apartment as the promised possession date tends to get delayed. 5. Amenities:It is a habit of many developers to over promise the amenities provided by them. Ensure you have double checked whether all the facilities as promised are provided or not. 6. Security: Make sure the area where you're investing in property is safe and secure. Commercial Real Estate A business motive or future business planning generally reflect commercial property decisions. However, investing in commercial property is not a cake walk. A lot of research, analysis and market study is required for the same. Few essential factors govern a commercial property’s purchase: 1. Location:When it comes to commercial property buying factors like distance from the supplier, distance to the market, accessibility to the customer etc. play an important role. It is also important to check whether there is a proper road connection for successful business running.

3. 2. Physical Condition:the property should be well kept and should be in its broken condition. I am sure nobody would like to spend a hefty amount on its repairs after paying such a huge value for it. If the property is in a good condition, its rent value and resale value automatically increases. 3. Support Services:support services are important for not only successful business running but also because they directly contribute to the property’s resale value. 4. Leasing Opportunity:In case the business doesn’t work, you can cover the loss by leasing the property out. Therefore it is important for the property to have sufficient takes for lease in the future. 5. Allowable Purpose:A commercial property can be put to various uses. Therefore it is important to know the list of lawfully allowable property usage. Industrial Real Estate While investing in industrial property, there are a lot of factors that need consideration however there are some factors that need major research and investigation. 1. Town Planning:We tend to have a predetermined usage set while investing in an industrial property which might contradict with the content use applicable for that town, therefore, it is wise to understand if any such rule exists or not. Any rules attached to the property should not influence the proposed use.

4. 2. Surrounding Environment:Environmental awareness has become a rising issue with heavy impacts on the property industry. Therefore it is necessary to investigate the land for its environmental impact in the future before investing it in. soil check should be carried out and environmental specialized should be assigned for the same. 3. Accessibility:While buying property for some business use, it is prerequisite to check the road, transportation, water and electricity facilities. There shouldn’t be any factors hampering the accessibility to the property. There should be enough space for onsite parking for clients and staff members etc. These considerations are required to be checked upon to avoid any possible delays and unnecessary problems that might occur. Investment involves huge cash, nobody wants to go through another hassle of solving these petty but huge issues after buying the property. Take proper part in planning and detailing while buying any kind of property and let your investment be a good experience. KGK Infrastructure Near Entertainment Paradise, Jawahar Circle, JLN Marg, Jaipur 302017 Website: http://www.kgkinfra.in/ Tel.: +91-141-2720557 Fax: +91-141-2720886