ARE YOU INVESTING IN REAL ESTATE IN INDIA, DUBAI, OR AMERICA? WAIT !!

Before you do that, do you know what the RETURN ON INVESTMENT (ROI) is on residential property

in India, Dubai, and America?

The ROI on residential property can vary greatly depending on a variety of factors, including location,

property condition, and the local real estate market. Here is some information about the ROI of

residential properties in India, Dubai, and the United States, as well as case studies for each:

India:

According to the National Housing Bank Residex Index, the average annual increase rate of

residential property prices in India between 2010 and 2020 was roughly 7.5%. However, depending

on the location and type of property, the ROI can vary dramatically.

Case study: In Mumbai, for example, due to market saturation and high property prices, the ROI on

residential property has been quite low. However, the ROI can be larger in rising locations such as

Navi Mumbai and Thane, where there is still space for expansion. A two-bedroom flat in Thane

purchased in 2010 for Rs. 50 lakhs is expected to be worth Rs. 1.4 crores in 2020, representing a ROI

of roughly 180%.

Dubai: Due to the high ROI potential, Dubai has become a popular destination for real estate

investment.

Case study: According to Property Monitor data, the average yearly ROI on residential properties in

Dubai in 2020 will be around 7.5%. However, depending on the location and type of property, the

ROI can vary dramatically. For example, a two-bedroom flat in Dubai famed Jumeirah Lake Towers

purchased in 2010 for AED 1.5 million is expected to be worth AED 2.4 million in 2020, delivering a

60% ROI.

The ROI on residential property in the United States can also vary greatly based on geography and

the local real estate market.

Case study: According to Zillow data, the average yearly ROI on residential homes in the United

States between 2010 and 2020 was roughly 7.7%. However, depending on the location and type of

property, the ROI can vary dramatically. A two-bedroom flat in San Francisco purchased in 2010 for

$800,000 is expected to be worth $1.8 million in 2020, giving a 125% ROI.

It should be noted that these estimates are based on historical data, and that the ROI on residential

property can be altered by a variety of circumstances. Before making any investment decisions,

investors should carefully assess any investment opportunity and weigh the potential risks and

rewards.

Buying property in Mumbai is very expensive because the ROI is just 2-3% each year. It is true that

property costs in Mumbai are generally believed to be exorbitant, making it difficult to attain a

significant ROI. The return on investment on residential property in Mumbai can vary depending on

a number of factors, including location, property type, and local real estate market circumstances.

While certain places may have a lower ROI, there are still opportunities to increase your ROI by

carefully researching the market and selecting the suitable property.

Other elements that can have an impact on the ROI include maintenance costs, property taxes, and

rental income possibilities. For example, if you buy a home in a high-demand neighbourhood with

good rental income potential, you may be able to obtain a better ROI even though the initial

purchase price is high.

Finally, before making a decision, it is critical to carefully assess every real estate investment

opportunity and consider the potential risks and rewards. Working with a qualified real estate agent

or financial advisor who can provide information and help you make an informed decision might be

beneficial.