Where To Invest My Saving? If I Invest In Residential Property?
The Residential Property Investment
When I do think to buy another house, Then my heart feel good wow! One more house. Stop it, If you have your own living and you are planning to buy house to use your money as a real estate investor then stop it.It may be a harmful step for you.You must think that this writer is kidding with me. No I am not kidding.In small picture, its seems nice to invest money to buy houses for rental purposes.Better you deposit your saving in the bank because banks usually return you %to 10% yearly on your investment. After that, no headache, no tension.However, In residential property its full of problems. Firstly, you have to purchase the house you need to find places. Secondly, you need to do paperwork,realtor paperwork and its charges and documentation work.Thirdly, That you need to find rental people. Finally, Residential property hard to manage for individual or you need some consultant to manage your property then you have property taxes according to council or governmental rules and regulation. If you go in the bigger picture your return on investment (ROI) is around 5% to 7% included taxes and other expenditures.
Residential property is good if you are securing the future of your kids then buy house and rent it for a long time. It helps to maintain your investment for family point of views. There are different sort of residential properties known as housing societies and complex, congested area. Both have different capital value. Residential societies are good in term of the environmental point of view as they are less noisy areas and markets are on distance and prices of houses are much lesser than in the
How About Investment In Congested Area
congested areas.However, such property gives you less rental income than highly populated area.Highly populated area mean, where everything about, you need are close with residence 24/7 services, people, mostly professional usually like to live in such areas. Because for work purpose because here services such as restaurants, hotel, markets, hospitals, local shops and transportation etc. available on time without delay.In such kind of residence people usually find flats, small houses, studio apartments and one bedroom.In this type of areas investment always good for returns. However, Buying property in such it requires heavy investment because property prices are high, rental income is high and prices of property are increased every year. It can be a good investment for your future in term of ROI and give handsome return on selling time.