Investing in real estate is a once in a lifetime decision. That is why investors evaluate all options before reaching a decision. Whether it is good to buy a house, flat or a plot depends on your budget, preferences and lifestyle choices. If you are not able to decide whether investing in an apartment is better or purchasing a plot is a wise decision, then this blog is for you. We are about to discuss both the good and bad points of investing in an apartment vs. a plot. So, without further ado, let’s get started.
Pros of Buying an Apartment
Since there are plenty of new apartment schemes in Karachi homeowners particularly want to know the merits of investing in a flat. That is why we will first discuss why buying an apartment is a lucrative investment option.
One of the biggest benefits of buying an apartment is that you get to enjoy shared communal facilities. Amenities like parking, gymnasium, garden, swimming pool, cafe and indoor restaurant are equally enjoyed by the residents. Maintenance of all these facilities is the responsibility of the management.
Greater Return on Investment
Investing in apartments can lead to better returns. Location is really important in real estate. Flats are usually located in areas that promise greater return on investment. This is one of the reasons why homeowners prefer purchasing a flat over other options.
Living in a flat requires low maintenance. Since a lot of people share the living space, you get to enjoy all the benefits. Even maintenance costs are shared. Facilities like elevators, waste management and house help are easily managed by the landlord.
You can easily buy an apartment initially at low costs. Since apartments are built on less area of land and have many residential units in a single building, it is relatively low priced than a readymade house or even a plot in a prestigious location.
Cons of Buying an Apartment
There are a few drawbacks of purchasing a flat as well. It all depends on the kind of lifestyle you wish to lead.
People who live in an apartment have less space. You are restricted to live in the same unit as designed by the landlord. Big, luxurious apartments still lack the kind of luxury a customized house can bring. If you buy a plot, you can easily build the house of your choice.
Living in a shared space has its disadvantages. If you have a noisy neighbour, it is less likely that you would enjoy living in a flat. Peeping neighbours and noise can affect your life. That is why, investors who value privacy over anything else prefer buying a plot of land to build a house of their preferences.
Pros of Buying a Plot of Land
Buying a plot of land has many benefits. Here are a few mentionable ones:
Building a dream home has its perks. You can sketch the floor plan, design the layout according to your liking. If you prefer big, airy rooms, functional kitchen and a spacious lounge, then you should invest in a plot of land.
Ready for Possession
Plots can be purchased in the name of the person who has bought it. You can also transfer land to your spouse, children or parents. This flexibility helps you to take possession of your property and transfer to the person you want without any hassle.
Superior Construction Quality
A plot owner can ensure the construction quality. If you are building your own house, you will buy the top construction material. You can install top-notch fittings, marble flooring and good quality sanitary ware in your house.
Plot Value Appreciates
Another major reason why investing in plots is usually recommended is that the value of land appreciates over time. If there is any development in the area where your plot is located, then it affects the real estate prices in that region.
You can easily sell a plot of land. Since there is no construction on it, homeowners who wish to build their own dream home prefer purchasing it. As mentioned, the process of transfer of property is not complicated as well.
Cons of Buying a Plot of Land
There are some drawbacks of investing in a plot.
You can’t rent out a plot. While a constructed house or apartment can yield good returns, a plot of land can only be sold to attain better profits. This means you can’t generate any revenue on the plot you have invested in. It can be a major hitch for those who are planning to achieve short-term gains.
Just like the real estate prices of a plot can unexpectedly increase due to development work in the area, it can also depreciate because of lack of infrastructure or basic facilities. Purchasing a plot is a big gamble. You can never be sure whether the prices of your plot will increase in the future or not.
As mentioned above, there are plenty of benefits of buying an apartment over a plot. However, people who are looking for long term investment prefer investing in a plot. So, if you are really into buying an apartment for yourself, consider purchasing flats in Scheme 33 which are laced with all the facilities that ensure a comfortable and peaceful life. At Sohni Saiban, we ensure that you get the best value for your money. Contact us for the best deal in town!