Has a real estate investment always been on your mind? And especially in Mumbai? Then the time is now. If you’re planning to buy property in Mumbai, it won’t get better and more viable than this very moment!
With many suburbs redeveloped and transformed, luxurious flats and gated communities are rising. The Indian real estate market has thrived even after Covid-19 made its presence felt worldwide. Due to new regulations in 2022 and a more transparent buying process- NRI investment in India has increased significantly in the last couple of years, making it their favourite investment location.
Why is Real Estate in Mumbai So High in Demand?
Real estate has historically been one of the most favoured and profitable investments one can make in their lifetime. With demand for housing always on the rise, homeowners can expect an appreciation of their home value over a period of time. Furthermore, buying a home is more than an investment as it is tied to sentiments and the traditional Indian value of setting your roots.
Real Estate in Mumbai- The Meteoric Rise
Real Estate in India, primarily property in Mumbai, is seeing a meteoric demand due to increasing urbanisation rates and suburb redevelopment to contain the volume of order. This current demand has seen a whopping investment of $ 13.3 Billion, making India one of the top 10 price-appreciating markets in the world. Due to high-paced developments and economic growth, the real estate market is seeing one of the biggest booms in history. It is expected to reach 1 trillion by 2030 and contribute 13% to India’s GDP by 2025. Talking about Mumbai, 111,000 units were sold, with the yearly registration being the highest since 2013. It saw a 70% rise from last year, which shows great recovery post the pandemic period. According to the data, almost 53% of the homes sold in Mumbai were priced below INR 1 Cr, followed by 42% of homes sold between INR 1-2 CR. A minority of the homes sold were priced between INR 5-10 CR, while some exceeded 10 CR as well.
New Policies
Most of the time, NRI investment in India includes buying property to rent it out, which helps in amassing an impressive return and profit on the investment. The new real-estate policies make it easier for NRIs to invest in their homeland through a reduction in premium charges in stamp duty and the RBI becoming more friendly towards foreign investors. As per the report, in FY21, NRIs have invested over $13.4 billion in the Indian real estate market, exhibiting an investment volume increase of 6.4% compared to FY20, despite the pandemic and its aftermath (sic).
The government and regulatory bodies have formulated several policies that invite FDI, encouraging NRIs to focus their attention on the Indian real estate market. Celebrated reforms such as GST and RERA (Real Estate Regulation and Development Act) 2019 have piqued NRI buyers’ interest by making the process transparent and hassle-free. Plus, attractive offers and plans for NRIs make the home-buying process in India even more attractive for foreigners. They get a low-interest rate and an indexation benefit for properties owned in India.
Benefits of NRI Investment in India
As per reports, NRI investment in real estate is set to grow by 12% in 2022. So, what are the benefits one must watch out for?
The Rupee Value
One huge advantage most NRIs have is the falling value of the rupee. When they convert their high value foreign currency to rupees, real estate deals become more lucrative for them.
Lack Of/ Low Interest In Other Investments
Owing to the volatility of the market, NRIs are backing off from investing in the more traditional Fixed Deposits, Gold or Equity. Real estate investments guarantee security and, in most cases, high appreciation too.
Tax Benefits
The NRIs also get an indexation benefit for properties held in India. For example, immovable properties held for more than 24 months is treated as a long-term capital asset and obtain an indexation benefit with simplified taxation at 20%. The Income-Tax Act of India also allows certain tax deductions under Sections 80C and 80TTA (sic).
High Market Value
Is now the best time to buy property in India? 100%! The booming post-pandemic market has seen a huge (pent-up) demand. So, if NRIs choose to invest now, they can also see great ROI.
The Rupee Value
One huge advantage most NRIs have is the falling value of the rupee. When they convert their high value foreign currency to rupees, real estate deals become more lucrative for them.
Rustomjee – Best Real Estate Investment Opportunities in Mumbai
When looking to set your roots down in your homeland or to make a wise financial move- Rustomjee Properties should be the ultimate choice. With a history of being one of the most celebrated builders in Mumbai, we are known for creating landmark properties in the heart of Mumbai.
Rustomjee Crown
The height of opulence and luxury and the jewel of Prabhadevi, Rustomjee Crown is a famed property in Prabhadevi. Enjoy the amenities of living in the heart of South Mumbai, the panoramic sea views from your sprawling balcony, the spacious living space, and the world-class in-house amenities. This property is a luxurious haven for you to set your roots down.
Rustomjee Seasons
Located near the busy business district of Mumbai’s BKC, Rustomjee Seasons is a one-of-a-kind gated community right where the action is in Mumbai! Located just moments away from BKC and well-connected to other parts of Mumbai, this property is truly worth the investment! Right in the heart of the cultural and business district of Mumbai- Bandra, Rustomjee Seasons takes the city living to another level by providing luxurious amenities with your purchase!
Know more about NRI investments, guidelines, and policies when you click here. For a tour and further information on our properties, click here.
