Is Buying a Flat a Good Investment?

Juliet D'cruz

Is Buying a Flat a Good Investment?

If you are a working adult, you must wonder if you should invest in a flat or other property. A shelter is one of the basic needs of any human being and buying a flat satisfies this need. Most of us live in rented accommodations which is a good alternative. But, it comes with its issues and challenges. While renting a house, one suffers the inability to make changes and renovate as per their own wish. The owner or landlord’s permission is needed to make any changes. The rent prices are also high in most cities. Rented flats create a lot of dependency on another individual for one’s shelter. At the same time, renting is convenient too. One can shift and move to any other city or even another country without hassle. House tax need not be paid when you own a flat. Instead, paying rent allows tax benefits as well. One does not need to bear the expenses of maintaining the house too. If you feel confused about investing in a house for sale in Mumbai, or consider renting over buying, the following reasons may change your mind and help you invest in a flat – 

  • Define your goal

One of the first steps while deciding to buy a house involves ensuring that you define your goal. Ask what you wish to achieve by investing in a flat. If you plan to buy a 1 bhk flat for sale in Kolkata to live there, you have a good reason to make the investment. You may want an apartment for your dependent parents or want to invest your savings. Some individuals also invest in flats to generate passive income. Defining your goal would help set an expectation from the investment, and make a decision accordingly. 

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  • Stop paying rent and build a permanent asset

If you don’t own a property, you must be spending thousands on rent. As a working professional, you could easily take a home loan and pay the same amount as your rent towards the loan installments. Paying rent would only provide you shelter. Buying a house and paying installments may seem difficult in the short term. But, at the end of it, you would have created a permanent home for yourself. Paying the rent does not generate any future benefit for you. But buying a 1 bhk flat for sale in Kolkata would build an asset for you and your family. 

  • Passive Income

Buying an apartment is an investment that can turn beneficial in multiple ways. Surely, you can permanently move into your apartment and stop the payment of monthly and obligatory rent. But, you can also rent your apartment. If you are not living in your own flat, you can rent it out and make a fixed and passive income. Rent is a good source of income after retirement that many individuals enjoy later in life. Hence, buying a house creates an asset for you but generates income. 

  • Profits and gains in the future

It is less likely that property prices depreciate over time. Flats are beneficial investments because they have a high chance of appreciation. If you have a permanent shelter already, you can invest in a flat to gain profits in the future. Selling real estate almost always brings in capital gains. A house for sale in Mumbai is worth crores of rupees as real estate is expensive in the city. People sell their homes at up to three times the price invested. However, it must be realized that such capital gains may not occur in the short term. Real estate is a long-term investment and one has to be patient to gain profits from it. 

  • Perfect for small families

There are different types of real estate that you may invest in, such as a plot or floor. But, buying a flat is a perfect option for small families with salaried employees. The social structure in India today consists of nuclear families with limited members. Flats and apartments are perfect for small families. They require less investment and come with many amenities as well.  

  • Low Maintenance 

Lastly, flats are much smaller in size and the area is often manageable in terms of maintenance. One does not need to spend thousands on ensuring that the house is kept clean and operational. Regular repairs are not required if you buy a newly constructed 1 bhk flat for sale in Kolkata. Many repairs can be completed personally as well. People these days paint their own homes as family projects to be done together. Hence, you can save money on repairs, maintenance, and taxes by buying a flat instead of a big property.  


We have discussed multiple reasons why buying a flat can prove beneficial for you. A flat can be a great investment and asset for the long term. You can live in your own flat post-retirement without worrying about rent. You can even generate a regular passive income by putting your flat on rent. There are many benefits of buying a flat. Especially with the new projects in every state, many amenities are also available in the residential societies. Hopefully, these factors will make you think of reasons to invest in a flat and set your goals effectively. 

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