Want Higher Rentals? Check Out Indian Real Estate Avenues With Maximum Rental Yields

    Date:

    Share post:

    The rentals have been the key solution to the housing problem in India since ages and are expected to play the same role for times to come. As per a recent report, the rental real estate market that was pegged at one crore units and was valued at $22 billion (Rs 1.53 lakh crore), is expected to be 1.8 crore with valuation $41 billion (Rs 2.85 lakh crore) by 2023.

    One can ensure a steady flow of steadily increasing income if one chooses to invest smartly. Here are some of the real estate avenues with maximum rental yields:

    1. Affordable Homes:

    Various reports suggest that yields in the affordable homes segment are higher compared to the mid-level or luxury segment. In fact, CEO Magicbricks wrote in ET that across cities,  properties priced below Rs 6,000/sqft have an average rental yield of more than 3 percent while properties priced at Rs 6,000 per sq ft or more had rental yields between 2.4% and 3%.

    Clearly, from a rental income perspective, it makes more sense to invest in affordable properties.

    1. Affordable Markets:

    Apart from lower-priced affordable homes, some locations are also comparatively priced lower than the prime ones. In all the metros, there are some micro-markets where property prices are reasonable and investors can expect good returns. In such micro-rental yield can go up to almost 4.5% as compared to the average yield per sqft of 3%.

    In short, markets with cheaper real estate were found to have higher yields. Some of higher rental yield locations are:

    1. Kolkatta:
    • Garia
    • Barasat

    2. NCR:

    • Gyan Khand 2 in Ghaziabad
    • Vasundhara Sector 1

    3. Bangalore:

    • Bellandur
    • Hosur Road
    • BTM Layout

    4. Hyderabad:

    • Nallagnadla
    • Toli Chowki
    1. Co-Living Segment:

    This real estate baby is going to be huge in the coming times. With 30 percent of the population falling in the Millenial category with almost a third, leaving their home towns for further study or work, the co-living segment is bound to grow in leaps and bounds.

    The rental yield in such an avenue can go up to 8 percent.

     

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here

    Related Posts

    Latest posts

    YEIDA to Develop Green Belt Along Yamuna Expressway

    The Yamuna Expressway Industrial Development Authority (YEIDA) on Tuesday announced plans to develop a 35-kilometer-long, 100-meter-wide green belt...

    YEIDA to Build Tech Hub Near Noida Airport

    The Yamuna Expressway Industrial Development Authority (YEIDA) has begun the process to hire a consultant for designing and...

    Delhi Master Plan 2041 Nears Rollout as 48 Villages to Be Urbanized

    The Delhi Master Plan 2041 will be implemented in the near future, with 48 villages in the national...

    NCRTC Proposes High-Speed Gurugram-Faridabad-Greater Noida RRTS Link

    The National Capital Region Transport Corporation (NCRTC) has proposed a new 60-kilometer regional rapid transit system (RRTS) line...