Investor's Guide: Right Time To Buy And Sell Your Property
Buying and Selling Property: A Guide for Investors
Thousands of people lose their hard earned money only because they have no facilitation while investing in real estate and end up having a loss making deal. But as soon as an experienced facilitator or real estate agent enters your life, your investment journey becomes smooth and profitable.
As a real estate investor, buying and selling property at the right time is really essential. Most investors lose their money as they have no idea what is the right time to buy a property or what is the right time to sell a property. Today we will talk about every essential factor that works as an indicator for you to examine when to buy or sell your property.
What Is The Right Time To Sell A Property?
When the market is going up and touching the peak of appreciation, as an investor (not end user) you should sell to book profits. It is the right time to sell a property as there you will make real money that will be in your accounts not on papers.
Some investors have a tendency to hold their property for more, more and more. But there is a pattern followed in every market, when the market goes up beyond your expectations, then the dip is also near or may leave you shocked harshly.
Then after that dip, you will again wait for the market to go up and the cycle will be continuous and you will never make returns on your investment. Sell when you get your desired returns or wait for depreciation and inflation to hit you to lose more and more.
When Is The Right Time To Buy A Property?
Market During Covid
When the real estate market in India experiences a downturn, it can present significant opportunities for savvy investors. Historically, property prices in major cities like Mumbai, Delhi, Noida, and Bengaluru have shown stability and tend to recover over time.
For instance, during the 2017-2020 period, property prices in many metropolitan areas saw stagnation, but post-2021, there was a notable recovery, with prices increasing by about 8-10% annually in certain regions.
Buy When Market Is Going Down
During market downturns, properties often become undervalued, allowing investors to purchase at lower prices. For example, the Housing Price Index (HPI) dropped in several markets during the COVID-19 pandemic, leading to a surge in demand when the market began to recover.
Lower interest rates, often seen during downturns, can make financing more affordable, further incentivizing purchases. The Reserve Bank of India (RBI) has repeatedly reduced rates, making home loans cheaper. However, investors must conduct thorough due diligence. Assessing the local economy, demand-supply dynamics, and future development plans is crucial.
While buying during a downturn can be advantageous, carefully analysing individual circumstances and market conditions is essential for long-term success.
Always Seek For Professional Guidance Before Buying And Selling Property
Before you start investing in any real estate, be aware of the market, as every market has its pros and cons. For investment, you should always seek professional guidance or any RERA authorised real estate agency like Commercial Noida. RERA authorisation enables authenticity and transparency.
An experienced agency knows every aspect of the market as they have worked in the field for the years meticulously and knows how to sail through it. Go and have meetings with trusted and reputed consultancies, and then decide which of them fits your needs and desires.