However, before buying a property to earn rental income, there are a few things to consider:
1.The 1% rule:
When buying an investment property, the buyer should at least get 1% of the property’s value as a return. Before deciding on a projects in Navi Mumbai, the buyer should check the existing rental income of the area and the likelihood of its increase in the near future. This evaluation will be helpful for buyers who rely on home loans to purchase the investment property.
Location is an important deciding factor when purchasing a rental property. A property in a strategic location or an upcoming location is more guaranteed to generate a considerable amount of rent. This condition is fulfilled if the buyer decides to buy a property in Navi Mumbai as it has the advantage of strategic location coupled with infrastructure growth that will generate employment opportunities.
Having a property with the amenities like children’s parks, the play areas, club houses and other recreational activities will help in increasing the rental income. People looking for a rental place are willing to pay more for these type of apartments. There are many Real Estate Developers in Navi Mumbai who offer these amenities at competitive prices that are beneficial for investment buyers.
When investing in rental property, the owner has to maintain a significant deposit to cover the expenses that might arise like repairs, makeover of the living room or the bedroom, wiring works and others. When subletting the apartment or individual house, the owner has to handover the house in a neat and working condition so as to justify the charge of the rent.
5.Know the returns:
If the buyer is only investing in the for the sake of investment only, then they should calculate the amount of passive income they can generate if the flat is given for rental. The property in Navi Mumbai has a great advantage in this regard due to its locational advantage and proximity to the bustling city of Mumbai and Pune.
Capital appreciation is an essential aspect of rental investment. Navi Mumbai is now booming with rapid appreciation of its properties in the real estate market. The location and the upcoming developments will ensure a rise in the value of the properties across Taloja, Ulwe or Kharghar due to the rising need o housing that is lacking severely in Mumbai.
Looking for a property that fits the criteria above, is a good bet to increase passive income till the owner holds the property. Navi Mumbai is on its way to becoming a well-planned city with bustling life that are prerequisites for a good source of rental income.