Home buyer’s tastes are changing in the aftermath of the pandemic. As the acceptance of working from home has grown, more people are looking for opportunities outside of cities and a peaceful beachside location like ECR. As a result, demand for plots and plotted developments has increased, as some people prefer individual homes over apartments in societies. On the other hand, plot investments have their own set of advantages and disadvantages.
Homebuyers and investors often question which is the best investment choice, plots or apartments? The majority of us choose plots. The land is still a common investment choice because it has a higher resale value than residential properties. Purchasing a plot and designing it to your specifications may seem to be a good idea, but one must consider the benefits and drawbacks before making a decision. Let us look at some of the advantages and disadvantages of plot investment in ECR.
THE PROS OF INVESTING IN PLOTS IN ECR
As compared to residential property, plots in ECR are less expensive. In addition to apartments, the property tax on plots is also lower. Furthermore, there is no need for repairs, resulting in cost savings. It is a more economical form of investment and good capital investment for those on a tight budget.
The cost of a plot is determined by its size, location, and available space. The value of land properties rises even faster than the value of an apartment. If the basic infrastructure surrounding the property grows, land prices will rise, resulting in higher returns on investment.
Customization and Flexibility
Investing in plot allows you to customize your home to meet your specific needs and specifications, ensuring that it not only represents your personality but also suits your way of life. If the need arises in the future, you still have the option of adding more floors and spaces. For example, although it is impossible to increase the number of rooms in an apartment, it is possible to do so with the land after obtaining the required permits and sanctions.
Distribution of Costs
Purchasing land helps you to spread the costs out over time. You do have the option of purchasing land when you have the funds and then building a house later when you have the funds.
Plots are easier to obtain and are delivered quicker than apartments. Furthermore, after the payment is received, the buyer has no contractual obligations.
THE CONS OF INVESTING IN PLOTS IN ECR
Lack of Civic Amenities
Simple civic amenities such as a well-developed approach road, water, electricity, and sanitation are often missing from residential plots. Before purchasing a plot in ECR, it is important to consider all of these factors.
Further Due Diligence
Investing in land helped extensive due diligence on the part of the buyer to ensure that the title is clear and that the plot’s title is free of encumbrances. The plot’s progression must be clearly defined. In addition, potential encroachments on the plot should be kept in mind.
Banks provide home loans for all apartments and flats, regardless of location or type. Land loans, on the other hand, are only valid for plots within the municipal boundaries. Furthermore, you would not be able to receive a loan to purchase agricultural land or a piece of land in a village. In addition, while a home loan can provide up to 80-85 percent financing, a land loan can only provide 70 percent financing with a pre-determined loan sum limit.
THE SIMPLE SOLUTION
The demand for investment plots in ECR has risen dramatically in recent years, and many of the city’s leading developers are now offering plotted projects in ECR by turning a portion of their land bank into small layouts.
These plans reduce the risk of purchasing land by including features such as well-developed highways, connectivity, water, power, street lights, sanitation, walkways, and access to commercial amenities. If you are looking to invest in luxurious plots in ECR, Adityaram Properties is the best choice for you.