1 BHK Flat For Investment in Pune?

#1
Hello,

I want to buy 1 BHK Flat in Pune For Investment Within Range 12 lakhs-15 lakhs.

So let me know the Demanding Areas in Future & Let me know Which things to be consider Before buying Property & Which Kind of Docs to Cross Check Builder?

Thanks in advance. :).
 

Atiker

Active member
#2
Hello,

I want to buy 1 BHK Flat in Pune For Investment Within Range 12 lakhs-15 lakhs.

So let me know the Demanding Areas in Future & Let me know Which things to be consider Before buying Property & Which Kind of Docs to Cross Check Builder?

Thanks in advance. :).
Just wondering doing a back of the page calculation.

1. Returns for 12lakhs from safe instruments will be min around 8% pa that is 8k pm, will there be rental returns more than 8k from a 1BHK flat ?

2. Pune real estate is already very high, is there any chance of further appreciation?

Question are not to discourage you, but to enlighten myself because I am very much scared of real estate now.
 
#3
You may get started with related this check list and Google for more. Good luck.
1. Returns for 12lakhs from safe instruments will be min around 8% pa that is 8k pm, will there be rental returns more than 8k from a 1BHK flat ?
Rental yields are typically in the 3.5 - 4.5% range.
 
#4
Just wondering doing a back of the page calculation.

1. Returns for 12lakhs from safe instruments will be min around 8% pa that is 8k pm, will there be rental returns more than 8k from a 1BHK flat ?

2. Pune real estate is already very high, is there any chance of further appreciation?

Question are not to discourage you, but to enlighten myself because I am very much scared of real estate now.
Yes, we should be scared of Real Estate, for the ongoing prices. Let us ask few questions to understand this:

The prices are always the outcome of supply vs demand (No exception !!). Let us see the demand, from where it is coming?

1) is it from the increase in population? may be but not yet justifiable with the increase in price in last couple of years.

2) Inflation? No

3) Steel / Cement prices sky-rocketing? No

4) The salary and disposable income has increased many fold? No

5) The House loan is affordable? Yes ( Not in real terms but yes they give upto 80% of the total amount :smile:)

6) The people's believe that Real Estate can go only Northwards : Yes

Now with this Questions: We can answer -> Will it be sustainable? No

Hence, We must be scared of Real Estate. I rest my case with this.

NK
 
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