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NEWS: Investing in Indian Real Estate. WHY NOT?

About one in every sixth person on earth lives in India, and half of Indian population is below the age of 25. Home to roughly 1.1 billion people, India is the second most populous country after China and is expected to overtake it by 2030. Strong population growth, a large pool of highly-skilled workers, greater integration with the world economy and increasing domestic and foreign


Indian Times
investment areexpected to drive India’s real GDP by 6% p.a. over the next 10 to 15 years. With the IT/ITES industry expected to grow at 15-20% over FY2010-16, one can only imagine the extent of opportunities offered by the Indian economy.
The already impressive number of 700 million people of employable age in India is expected to grow by another 250 million in the next 20 years. Additionally, the valuable economic reform policies implemented since the early 1990s have created the proper foundation for translating population growth into powerful economic growth. Positive implications of the economic growth and population increase can be seen in the Indian real estate with an annual growth rate of 30%. Investments in Indian real estate are expected to touch $90 billion by year 2015.
There is a strong demand for residential housing, township development, commercial/IT Parks and retail malls. Additionally, thrust on infrastructure projects across the country has further enhanced the growth potential for real estate assets. India’s favourable demographic and strong economic impetus makes the country an attractive place for property investors, given that demand for property is determined chiefly by business development and demographic trends. Overall, these factors suggest that increasing number of households are getting eligible to buy homes.
We believe the residential property sector is poised for continued strong growth
over the next 5-10 years, driven by: 1) an underlying shortage – most conservative estimates suggest a shortfall of over 20m houses, 2) urbanization, 3) strong economic growth and rising per capita income, 4) changing social structure – increasing nuclear families. In current scenario powerful demand stimuli have caused housing shortages in almost all cities, pushing up the residential property prices.
From an NRIs’ perspective this is presenting a great value opportunity for wealth creation. Earlier, only NRI’s with strong Indian connections and massive amount of capital could buy properties back home in India. Positive steps taken by Indian government and favourable banking system have made it easier for a salaried employee to invest in Indian property. Today an NRI with decent employment is able to buy property in India and also get a home loan from a reputed bank.
Concept Tree is a structured institution helping many Indians realise their dream of buying a property in India. Property market research is available to identify the best investment destinations in various Indian cities and a range of specialist services can facilitate the property purchase. Assistance can be rendered in organising a home loan from a bank in India, to fund the purchase. Documentation, usually considered as painful, is made easier with the help of an experienced entity like Concept Tree.
Since India is witnessing an unprecedented growth, it makes sense to capitalise on the opportunity presented by the growing Indian economy. Non Resident Indians and Persons of Indian Origin have special rights to buy property in India as compared to foreigners. Favourable repatriation laws make it even more attractive. Why would anyone want to miss out on such a lucrative offer?
   
 
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