Residential Real estate has always been one of the most fruitful and safest options for investment. People prefer to invest in residential units as it allows them to regenerate passive income without falling within the legal purview of respective tax provisions. Besides that, the value of the residential property also accelerates as time passes, further making it a lucrative option for new home buyers and real estate investors. In succinct terms, investing in residential real estate comes with many benefits and advantages, making it the first choice of investors. So if you are thinking about investing in residential flats and apartments, here’s why you should do it. 

Important Takeaways

  • You can invest in residential real estate such as luxury homes and apartments for sale. That would allow you to make money through several modes like rental income, price appreciation, and profits garnered by commercial activities running on the property.
  • Some of the significant advantages of investing in residential units are regular flow of passive income, stability in cash flow, tax rebates, diversification, and leverage. 


Things that Makes Residential Real Estate More Attractive


Stable Cash Flow

Cash flow can be described as the total income arising from your real estate investment once the payment related to mortgage issues and operating costs has already been made.

  • Properties that are well connected, surrounded by world-class social infrastructure, packed with modern amenities and offer best-in-class living environments can quickly help you garner regular cash flow.
  • And as you pay your mortgage and build up your equity, this cash flow gets even more robust.


Tax Exemptions

Investing in residential real estate can also help you avail several tax rebates and tax deductions, allowing you to save a lot of money. And, because the cost of buying and as well as the cost of renovation and improvement can be depreciated over the lifetime of your residential apartments, you would eventually gain profits from decades of deduction, thereby reducing your taxed income. Apart from that, you can defer the capital gains with the calculated use of the 1031 exchange.  


  • If you are investing in residential real estate, you can earn through rental income or any other monetary profit from commercial activities done on the property.
  • The total value of residential assets grows over time, and with an intelligent investment choice, you can make a hell of a lot of profit when you sell your property.
  • Rental appreciation, especially on a prolonged time scale, can also lead to a decent cash flow.


More Equity More Wealth

  • In the process of paying a property mortgage, you eventually end up building equity, something that is an integral part of your net worth.
  • And with more equity in hand, you will have the opportunity to invest in more properties, thereby increasing the flow of cash and wealth.

Diversify Your Portfolio

Portfolio diversification is another primary reason people want to invest in residential real estate. Compared to other market segments, real estate has a minimum correlation with sudden ups and downs in the market. It means that if you add real estate to your portfolio for the sole purpose of asset diversification, it would eventually lower the volatility of your entire portfolio and provide a higher return on investment.

Safe, Secure & Trustworthy Investment Options

Always try to prefer projects that are built by Reputed Builders. Majestique Marbella Pune is one such remarkable example where you would find a limited class of luxurious flats and apartments curated and crafted to deliver a comprehensive lifestyle and ease of living. Each flat and apartment in Majestique Marbella Pune are fully furnished and spacious and fitted with world-class interior amenities, making your life full of luxury and a feeling of the aristocracy.