Advantages of investing in a Plot

Why should one invest in land? Many individuals wonder if it is a good option from an investment point of view. As there are many inhibitions attached to this thought and compels one to question himself/herself before spending their hard-earned money on this. We don’t mean that investing in land is the only option to explore in terms of an investment portfolio, however, one should definitely be open to including it in their portfolio. Owing to the chief factor that land is an appreciating asset, which is much quicker than any other type of property in the current times.

Let’s understand the logical reasons behind the same: 

       1) Shift in Lifestyle

Demand for plots had anyways risen in the last one year.  Now even the upcoming areas have seen that rise. People are now looking at independent houses in gated colonies as a good option as these complexes provide all facilities like power backup, security, modern club house etc. and one can still enjoy the benefits on independent living.  Most of these developments have both high rise and plots in their compound.  

      2) Low/No maintenance cost

When compared to any other form of real estate, maintenance cost of land/plot is the lowest. One the maintenance cost charged by developer is lowest in plots and secondly one doesn’t need to spend on the upkeep of land.

      3) Incurs lower property tax

Property tax is one such expenditure that occurs frequently, irrespective of the fact that one owns a house or land. However, when one owns the land, the property tax is relatively quite lower than the house tax. This concludes that one can save money when making the initial purchase for a plot of land, yet also in the long run while paying taxes.

      4) It gets better with age in terms of value & has fewer complications

If you are seeking a medium to long term investment avenue then stay rest assured that a land’s value always appreciates and definitely has lesser complications associated with legal procedures and paperwork.

      5) It is a finite asset

Considering it as a finite resource where a limited land portion is now available for occupancy these days, it leads the plot price to continually rise and it never gets old. Hence, it is highly recommended.

      6) You can build your house as per your specific needs 

One of the most remarkable benefits of investing in residential plots/land is that you don’t necessarily need to invest your money into building a house immediately. Rather you can utilize that money efficiently by distributing it at different time intervals. This way it proves to be easy on your pocket without causing you to suffer from any stress and burden.

      7) No or less gap between purchase and possession

Unlike a house purchase, where one needs to wait until the construction gets over and the complete possession process takes time. The contrary happens when one invests in a land where there is no delay at all. All one needs to do is to execute the transaction and immediately take over the land as there is no construction factor involved that could cause delay.

We hope that by now you must have gauged this type of investment as one of the most fruitful and stable forms. And if you are considering seeking investment avenues then you should definitely spot this option at the top of your list and enjoy good returns.

Raunaq Singh Arora

Ace Consulting

To know more, you may write to me at

raunaq@aceconsulting.co.in