With post-recession era dawning, realty sector in India is touching new heights. The growth also depends on the policies by the government to facilitate investments in economy. In recent times the FDI policies adopted by Indian government have encouraged an increasing number of NRIs/foreigners to invest in Indian properties.
India has replaced US as the 2nd most favored destination for foreign direct investment in the world and making India amongst the “dominant host countries” for foreign direct investment in Asia and the Pacific (APAC).
The outlook of Indian government is the main factor behind the sudden rise in the realty sector; it is the 2nd largest employer after agriculture in India. The real estate sector in India is experiencing growth in all its areas, be it residential or commercial in the tier I & II cities.
Flying high on the wings of real estate, property in India is a dream for every potential investor looking for profits. India is an ever growing economy, on a continuous rise, which has created increased purchasing power and demand for realty sector.
With as many as an estimated 2 million students graduating from various Indian universities and presence of large number of Fortune 500 and other reputed companies demand of office and industrial space has also increased.
Relaxed FDI rules in India have attracted more foreign investors and allowed NRIs to own property with minimum size for housing estates built with foreign capital reduced to 25 acres. With these changes in investment policies, the overseas firms can now put up commercial buildings as long as the projects surpass 538,200 sq ft of floor space. Real estate investments in India yield huge dividends. 70% of foreign investors in India make profits and another 12% break even. These attributes of Indian economy is definitely going to attract more foreign investors in the near future.
