Benefits of Investment in Indian Real Estate Market

The real estate market of India is becoming a hotinvestment securities. Real estate investment
selling property and is attracting the attention ofcomprises more return on investment and that is the
investors as they are getting huge profits and highreason why most of the people negotiate the real
returns on their investments. The real estate in Indiaestate investing contract very quickly. The real
may still be a fragmented industry with highestate sector in India is attracting huge investments.
transaction costs and an absence of completePrivate equity players are considering big
transparency, but it is whetting the appetites ofinvestments, banks are giving loans to builders, and
domestic and overseas investors.financial institutions are floating real estate funds.
Seeing this current trend one can say that India isThe real estate sector in India is attracting huge
going in a right direction and soon more and moreinvestments. Private equity players are considering big
people will be coming forward to go for real estateinvestments, banks are giving loans to builders, and
investment property in India. India is a country thatfinancial institutions are floating real estate funds. With
offers a suitable environment providing maximum100 per cent FDI in real estate now being allowed,
benefits to the investors. People are more attractedoverseas developers are also closely looking at the
towards India for the real estate investment due tomarket. International investors like the US-based
the fact that India is one of the largest democraticWarburg Pincus, Blackstone Group, Broadstreet,
countries in the world with good governing systemMorgan Stanley Real Estate Fund (MSREF), Columbia
equally supported by strong and transparent legalEndowment Fund, JP Morgan Partners and Amaranth
system. It also provides legal protection forAdvisors have been found to show interest.
intellectual property rights.Indian institutions, such as HDFC, ICICI Venture and
Nowadays, apart from real estate investmentKotak Mahindra are launching funds to invest in real
property in India no other business is lucrative andestate Gurgaon. Most of these funds have been
revenue generating. Investment in properties includesmeeting investment bankers, banks and housing
hotels, resorts, hospitals, educational institutions, andfinance companies in India to get a feel of the
housing and commercial premises. The governmentmarket. The developers are looking to tie up with
has reduced the minimum mandatory area to allowIndian companies, while the private equity funds seek
FDI in real estate sector from 100 acres to 25 acresto test the market with small investments in big
.Nowadays more numbers of investment propertyprojects.
are available in the real estate market with