Difference Between Residential and Commercial Property
If you want detailed insight into residential and commercial property in Delhi, you are at the right place. It is always good to start investing in residential properties, gain some experience, and then buy commercial property because of the amount of risk involved.
Here are some factors to keep in mind when Buying Property for Investment in Delhi NCR.
Loans: Individual owner of the property provides a loan in the case of the residential property whereas, for commercial property, a business entity offers the loan.
Electricity Rates: It differs for both residential and commercial properties. Sometimes commercial properties purchase electricity in bulk to gain tax benefits.
Difficulties in Purchasing: Residential property in Delhi is easier to buy than commercial properties. There are too many investigations for buying a commercial property.
Returns: The return of investment is usually higher for commercial as they are usually leased out for more than 10 years, and the owner gets the bulk money. ROI is low for a residential property.
Maintenance: The maintenance cost is less in the case of residential property. For commercial properties maintenance cost is huge because of the larger machines and equipment.
Contracts: For residential property, the rental deeds are signed for the short term and are less complicated. The commercial properties are more detailed and signed for the long term.
Location: The location of the commercial property is of utmost importance as it affects the running of the business. Residential property is meant for residing so location does not matter much.
Tenant: Another stark difference between commercial and residential properties is in the type of tenant each building attracts. Residential properties are typically leased to families and individuals while commercial properties are leased to businesses.
Both the commercial and residential sectors are driven by supply and demand factors. No matter whether you are looking for a commercial or a residential place, SIG RealTech is your go-to place. You can rest totally assured to get the best deals at the most affordable rates.
Real estate is indeed the most flourishing and reliable market. Investing in the commercial market is a lot more different than investing in the residential sector. The decision you make depends on your risk-taking ability, goals, and the investment you are ready to undertake. Keeping the above factors in mind, you can accordingly choose your pick.
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