Bangalore is a posh city known for housing the top tech parks, multinational companies, and big residential projects. This has made a huge population from around India to settle here. This population looks for an ideal investment option in the city. The most preferred are plots and villas that offer all the luxuries. But the main question that arises is plot vs. villa, which is the best option for investment. Both options have their benefits and cons.
There are certain pros and cons in choosing plots and villas; they are:
Pro of investing in plots
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Affordable - Buying a piece of land is affordable and is offered at a low-cost additional charge. The units also give higher returns and have potential for growth.
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Customization - On a plot, buyers can customize their homes as per their will. It can be designed at the convenience of the owners and used as per their demand.
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Less Maintenance cost with low investment cost - Plots require less maintenance costs as compared to the already built units. The investment cost of the plot is less, and its initial payments are low. An already-built unit requires more money.
Cons of investing in plots
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Development Cost - Buying a plot can be affordable, but developing a house on it can be expensive.
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Delayed Returns - Plots take time to give returns and are not easily taken for rent. Unlike the constructed building that gives rents immediately, plots take time for value appreciation.
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Low Liquidity Rate - Selling out a plot can be time-consuming and does not give immediate money.
Buying a villa also has its own merits and demerits. Some of them are:
Pros of investing in a villa
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Cost Efficient - Buying a villa can be cost-effective as buyers do not have to spend money on its construction. These are already built, and buyers can take immediate possession.
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No time for developing additional features - While buying a plot, owners have to prepare water storage units, electricity, etc. In an already built home these features are available. The water tank, electricity, gates, and other features are already installed.
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Potential for appreciation - Villa owners can get high returns and rents fast as compared to plots. A ready to move in house is higher in demand.
Cons of buying a villa
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High Cost - Villas are the most expensive residential option as compared to land and apartments. The maintenance cost of these houses is also higher comparatively.
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Lower resale - Buyers often prefer buying properties that are less expensive and affordable. Villas are expensive properties that do not give resale value instantly.
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Higher living cost - These houses have higher costs of living like more electricity bills, water bills, etc. Plots do not require any of these charges.
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