One of the main questions we hear is “ Is real estate a good investment idea?”. We want to use our hard earned money and invest it for a profitable return. In my opinion real estate return on investment is risky. I have been researching about the same.
How much return on real estate investment ?To know the amount of money you will get from real estate investment is tough. You can make a guess about the profit range. Real estate investments are dependent on various factors. A lot of these factors are not in an individual’s control. There is an added risk factor about investing in this sector. Real estate investment is often considered high risk, high reward.
How to get the best return on investment real estate ?
Buying property is considered as an investment. We need to invest in a property that might generate profits in the long run. To pick a property we need to do our due diligence, market research, and analysis.
Market Research :
To make a smart decision, you need to conduct research about the real estate market. You will need to research the current market trends, previous trends and trends that might emerge in the future.
Metric :
You can use the ROI metric to estimate profits you might earn from real estate investment.You can compare the ROI efficiency. ROI can be calculated with a simple formula. It’s the ratio of an investment’s return (profit) to the cost.
ROI is the ratio of profits to costs.Mathematically,
ROI = Income after deducting cost/ investment x 100
Analysis :
Analysis will help you decide when to take risk and how to make a profit. Yo
u need to analyse and decide which property is worth the risk and what property is not worth the risk.
This is the end of my answer about
real estate return on investment .
Buy or rent the house of your dreams ! Check out the real estate platform NoBroker to see properties in your area.
Read more :
Which is better investment commercial or residential
What is commercial property investment?
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how much return on real estate investment
nilisha
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1 Answers
2 Year
2021-12-30T08:42:02+00:00 2022-01-03T10:26:19+00:00Comment
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