3 Reasons Why You Should Invest in Real Estate In Guduvancheri, Chennai

From time immemorial having Real Estate in Guduvancheri, Chennai has been associated with status, wealth, and creditability. Nowadays besides gold Real estate is the greatest and safest way of securing one’s health.

In this modern era, there are a lot of options like stocks, bonds, fixed deposits, and crypto currency in which investors can park their money. Besides all this, Real estate is the only most trusted, secure, and Beneficiary Avenue for a long-term, profitable form of investment.

Nowadays, public has more dependency on real estate as everyone needs a place to reside, and real estate investment also solves this problem and secures the future. In this article, we are going to discuss the top reasons why you should have Real Estate in Guduvancheri, Chennai, and how and why it is considered a good investment.

Tax Benefits

Investors can opt for a tax deduction on Real Estate and this offsets income and overall reduces the taxes. They don’t need to pay any self-employment tax on the rental income. The government also plays a very important role as it offers tax breaks for property depreciation, maintenance, insurance, and repair expenses.

Government also offers tax breaks for legal fees and even interest paid on the mortgage. A lower tax rate on long-term investment is the additional feature a real estate investor gets.

Tangible asset

Property is a tangible asset, and it can be leveraged to capitalize on the numerous revenue streams. More the tangible asset ensures, everlasting security, and it will always have value in the real estate, unlike the other intangible and all the tangible assets present over there.

Real Estate in Guduvancheri, Chennai is easy to purchase, convenient to finance, improves lifestyles, and it’s devoid of any insurmountable financial barriers. That's why people are more interested to have Real Estate, and it remains one of the most advantageous investment options.

Cash Flow

Cash Flow is the real net income of any real estate investor after investing. It includes the real estate investment after the mortgage payments and operating expenses are covered. Through real estate, you will get the considerable ability to generate cash flow.

Investors can have long-term financial stability through the steady monthly rental income and it's an excellent incentive for passive income. In most, a good real estate investment cash flow of 6% or greater is obtained. Cash flow only strengthens over time once the investor pays downs the mortgage and built the equity.

Leverage

Through real estate investment, you get the ability to use the leverage by investing just a small portion of one’s own money. The bank will provide you with the rest money to buy a property. You just need to pay a small down payment and cam opt for the housing loan to cover the rest of the money to buy the property.

After getting the housing loan you can invest in prime real estate for as little as 15% of the total purchase price. In this way, only a little amount of your money is invested in the property, and still, you are the owner of the property.

In this way, you don’t need to put your entire life savings into the real estate purchase and you can save some money for the possibility of any upcoming emergencies.

Appreciation of Value

The value of real estate always increases with time. With a good investment, one can have an enormous profit when it’s time to sell.

You can also opt for renting your real estate and the rents also tend to increase with time, it also leads to higher cash flow. The longer you hold your real estate, the more money you can make.