Should NRIs Invest In Retirement Homes?
Indian families have traditionally followed a joint family system where there was no specific need for a retirement home. With changing times and nuclear families gaining ground, many senior citizens today are living on their own. Retirement Home is now a niche segment that caters to the needs of senior citizens and offers them homes accompanied with all luxurious facilities and amenities.
Many big names in the real estate industry have embarked on dedicated projects offering retirement homes across the country. Some regions, especially the temple towns, have a prominent market for retirement homes. These homes may be a novel concept for some people but Non Resident Indians must understand the significance of such dedicated housing development for the elderly. Here is a look at how the Indian retirement homes market is likely to pan out and whether there is a strong case for NRIs to invest in such projects.
Retirement Homes as a Real Estate Investment: One thing that has witnessed a change in terms of NRI investment trends is the fact that NRIs are now looking at various specialized projects including ones in smaller towns rather than focusing on just the metropolitan cities. Home for senior citizens, or retirement homes is one such dedicated product that NRI investors are looking at with keen interest. India has 98 million people of the age of 60 years and more. The number of senior citizens in India is likely to be doubled by the year 2030. This statistic alone calls for a large retirement home market which can reap rich dividends for both domestic as well as NRI investors.
Entry of Big Players in the Retirement Home Market: Retirement home market has witnessed the entry of some of the big names like Tata Housing, DLF and Parsvnath Developers. The influx of reputed developers in the retirement home market augers well for investors especially NRIs as they can now invest in projects without worrying about the prolonged delays. Tata Housing alone has allocated a sum of Rs 1,200 crore for developing 13 retirement home projects across India. This gives NRI investors the option to choose their desired location and an opportunity to avail the facilities of the retirement home for personal use as well as for investment.
Tremendous scope in Temple Towns: Retirement home market is not just limited to a few selected cities but the temple towns across India are being developed as a major hub for such homes. Considering the number of temple cities across India, an investor has a wide range of projects and investment options when seeking to invest in retirement homes. From cities like Vrindavan, Rishikesh and Haridwar in the north to Puri in the East and Tirupati in the south, retirement homes are being developed pan India.
Research the Location before Investing especially for NRIs: One thing NRI investors need to keep in mind is to be proactive when choosing the location of retirement homes. Not every project offers international amenities especially those operating in smaller cities and towns. The location of a retirement home holds paramount significance in terms of location, distance for medical facilities and overall ambience and facility for the senior citizens.
Retirement Homes – An investment opportunity worth considering: Investing in retirement homes is a good opportunity for NRIs since the concept is only just taking off in India. What’s more, NRI investors can invest in retirement homes both as a long term investment and double it for personal use with time if they ever decide to spend their sunset years in India. With a host of reputed developers focusing on retirement homes, the buzz is likely to grow with emphasis on amenities and facilities attached with each project. Retirement homes are indeed a good investment opportunity for NRI investors considering they invest in a reputed project after doing their research.
