Plot Vs Home: Where To Invest? - Page 2

Plot Vs Home: Where To Invest?

By siliconindia   |   Tuesday, August 27, 2013

Land always gives higher returns

In real estate, when it comes to retail investors, they always prefer to invest in a plot or a ready-to-move-in apartment. According to experts, investing in a plot is better because it is likely to give higher return on investments. "Once you construct on the plot, the real estate will have two components. While one component, land, continues to appreciate, the other, the building, depreciates in value as time goes by," said Mayank Saksena, managing director, land services, Jones Lang LaSalle India, reports Economic Times.  

However, plots witness higher price appreciation due to the demand supply dynamics. "Plots appreciate more because their supply tends to be lower than that of apartments," cited Manish Aggarwal, executive director, Cushman & Wakefield India.

A plot can be sold faster than an apartment. Here the underlying reason is that, an apartment sells only when it satisfies the taste and needs of a buyer but if the location and dimension is proper, the plot sells in jiffy.

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