Resilient Real Estate: A Reliable Long-Term Investment Amid Volatility

In an era of market uncertainty, real estate stands as a beacon of stability, attracting buyers and investors alike. India's growing urbanisation, improved infrastructure, and rising disposable incomes have created sustained demand, boosting confidence in the sector. For Bengaluru-based software engineer Shruthi Rao, buying her first apartment was not just about owning a home, but securing her future. She found solace in the steady appreciation of property value over time. Property developers share similar sentiments, with Rajiv Mehta, a city-based builder, highlighting real estate's stability and potential for consistent rental income.

Key Takeaways:

• Real estate remains a reliable, long-term investment in India, driven by urbanisation, improved infrastructure, and rising disposable incomes.
• Shruthi Rao, a Bengaluru-based software engineer, purchased her first apartment for peace of mind, citing the steady appreciation of property value.
• Property developers, such as Rajiv Mehta, believe real estate is one of the most stable long-term investments, offering consistent rental income.
• Government initiatives like PMAY (Pradhan Mantri Awas Yojana), RERA reforms, and increased investment in infrastructure have supported the growth of the industry.
• Real estate also offers a strong emotional and cultural sense of security, with land being seen as a family asset in Indian households.
• Experts urge caution, advising buyers to check the legal status, RERA registration, builder track record, and infrastructure plans.
• Rental yields of 2-4% and strong appreciation potential in suburban pockets make Indian real estate an attractive option for millennials.
• NRIs and global investors are drawn to Indian real estate due to favourable exchange rates and emotional ties to the homeland.
• A Knight Frank report notes a 21% year-on-year rise in housing sales in Q1 2025, reflecting strong buyer confidence in property investments.

Statistics:

• 21% year-on-year rise in housing sales in Q1 2025 (Knight Frank report)
• Rental yields of 2-4% in Indian real estate
• Strong appreciation potential in suburban pockets
• `40 lakh appreciation in land value in 10 years (example of Anil Kumar's plot)
• `5 lakh purchase price of Anil Kumar's plot in 2015 (example)
• 2-4% annual growth in property value (Sharath, Bengaluru-based builder)

Sources:

• Knight Frank report (Note: The exact date of the report is not specified in the original text)
• Interview with Shruthi Rao
• Interview with Rajiv Mehta
• Interview with Anil Kumar
• Interview with Anusha Nair
• BMB (Note: The publication date of BMB is not specified in the original text)