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residential investment jaipur

Which is more attractive: Rental Income from Residential or Commercial Property?

Residential versus commercial spaces: Benefits and drawbacks Residential property Commercial spaces Benefits Steady rental income that goes up, as the property’s value increases. Regular and handsome rental income opportunity. Availability of tax benefits. If you select a prime location like Mumbai or NCR, chances are, you may get good return from tenants. Freedom to use the property as you want – you can move into it or give it on rent or even set up a personal office space. Longer lease periods. A lifelong asset that can be passed on to the next generation. Rental value increases with capital appreciation, over time. Drawbacks Regular maintenance and upkeep of the house. One may not be able to keep the property vacant for long, as it may affect cash flows. High risk of possession delay. The investor must be willing to take a risk, with higher amount of capital.

If you are planning to invest in property to earn returns, which type of property should you choose — residential or commercial? We analyse the benefits and drawbacks of each People often do not recognise the difference between residential and commercial properties, while making an investment and therefore, tend to focus on just one type….