Real Estates The Most Valuable Asset

In a developing country like India, the accelerated growth of the Real estate sector is giving its economy a major boost and it is making its presence felt by other nations including the developed ones in the world. It is surely a driving force which is now the second most important industry just lagging behind the agricultural sector but is expected to boom in the near future.

The development of commercial properties like shopping malls, hotels, educational institutions, hospitals, business corporations etc in India has intensified due to heavy interest shown by foreign investors and NRIs. This has pushed the real estate market into a mushrooming phase. Another fact to be considered is that of the total Indian real estate property about 80% comprises of Residential or agricultural property which leaves the remaining part to commercial spaces. This decade is witnessing a vibrant economic growth thanks to the changing mindsets of using available land and its multi diverse practices. A property is named commercial property if it is commercially used to make profit.

The whole thing revolving around this commercial property thing is to speed up the economic and business activities in our country. It is always meant for purposes involving business and revenue generation and is designed keeping commercial, institutional and industrial activities in mind. But keeping the current scenario in mind both commercial and residential properties are making the economic growth of our country faster and easier. The Mushrooming of IT and ITES industries and organized retail is increasing the requirement for space day by day. The Indian government is aware of these facts and is trying to maximize our growth without hampering the citizens welfare. It has been introducing new laws and packages (like the introduction of SEZs, allowing 100% FDI etc) which is bound to show results like revealing the huge potential that our real estate industry contains.

As a result construction projects in India are now grossing more profits compared to developed countries like the States. Despite such drastic measures taken by our government, Real Estate India entered a rough phase when economic crisis hit the world resulting in global slowdown. This of course slowed down major players in the industry dealing with real estate property like DLF, Unitech etc to stop their expansion plans and waited for the market to recover. The liquidity crunch which entered resulted in a loss of major industry players which invoked the RBI to take immediate action.

In India whichever state you ponder into you can experience the sky rocketing prices of properties, but this did not stop builders from buying old houses, renovating them and again selling them for a huge profit margin. They are practicing out of the box techniques to become wealthy overnight. They are engaging themselves in flipping, speculating and investing. These methods engage a wait and watch situation, you buy a property wait for the right time and then resell it. Buy cheap, sell dear is the name of the game. They are encouraged by the growing number of nuclear families thus they are reaching new heights taking the countrys economy with them.