Indian rental moves down

Q: Anyone has any update about the news?? What is it actually say and what is the reason behind it?

Arun, Gurgaon

17th November 2013

Real estate News in Delhi

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Replies (6)

hmmmm,the rental yield is almost 30-40% of the fixed deposit rates. Otherwise, in most of the countries, including the emerging markets such as Jakarta and Manila, the rental yields are higher than the fixed deposits rate.

Prasad, Noida

17th November 2013

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India ranks 94 among 185 countries in registering property index, the Philippines and Indonesia rank 122 and 98, respectively. That means both the Philippines and Indonesia are perceived riskier than India to buy a property.

Shilpa, Noida

17th November 2013

People that is not end if one compares the rental yields with the opportunity cost of funds - which is equal to the interest that the same money can earn if it is kept as a fixed deposit with a bank - the rental yields offer far superior returns.

Wahi, Noida

17th November 2013

Comment

I also feel that this is why the general norm of high risk-high return does not apply to the investment in residential real estate sector in developing countries like India.

Geeta, Noida

17th November 2013

Comment

The annual rate of return through rental income from a residential property at the current price - in developed countries are higher than those in emerging economies.

Kasturi, Noida

17th November 2013

You mean to say, despite of this domestic as well as foreign investors find it highly attractive to invest in the real estate sector.???

Hritwik, Noida

17th November 2013

Comment

A senior consultant with another consulting firm said that in emerging economies, investors pump funds into the real estate sector for high return from capital appreciation.

Mukhesh, Noida

17th November 2013

But if one takes into account the capital appreciation, the returns surge to over 20% compounded annually - which is among the highest globally...

Sekhar, Noida

17th November 2013

Comment

hmm guys there are reports stating that Indian market is low despite the fact that owning a real estate asset in the country is risky.

Sangam, Noida

17th November 2013

The return on investment on residential properties through rentals in tier 1 cities in India is among the lowest in the world. The rental yields in Delhi are the lowest at around 2% while Mumbai fares better at 3.5%.

Bobby, Noida

17th November 2013

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