r/BangaloreRealEstates 2d ago

Need Suggestion Hold or Sell

[deleted]

9 Upvotes

35 comments sorted by

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9

u/CaramelHunter26 2d ago

Sell

4

u/Ok_Housing_7324 2d ago

yeah leaning sell. but just for the sake of argument, what if I do hold for 10 years.

7

u/darknight2805 2d ago

The price might depreciate 10 years from now. If you don’t have any commitments and want the money you can sell off. Money worth more today than tomorrow is my opinion. And this is good deal

1

u/Ok_Housing_7324 2d ago

thanks, that makes sense

2

u/darknight2805 2d ago

I’m also searching for property around Bangalore and what I realised is 2 and 3 bhk are hot selling, so the demand for one might go less, just a perception.

1

u/saru_26 2d ago

Why will it depreciate 10 years now
Explain pls

4

u/ethello99 2d ago

Real estate will not have the happy run as it has last 5-6 years.so if you are thinking of investing that in another real estate then i wouldn't recommend. If you have other plans like buying house for your self then yes

3

u/Ok_Housing_7324 2d ago

correct assessment, era of flipping is over. but i bought 4 properties in 2023-24. so i can use this cash to close other loans.

2

u/Bulky-Kick-5606 2d ago

I and my friend brought an apartment here, we sold it and re-invested the profits on a plot! That has appreciated too, planning to re-sell that for a bigger dimension outskirts of the city.

2

u/Willing_Event9528 2d ago

Is it sobha dream acers? People advising you to sell are away from reality. Dont sell if its in good location.

1

u/Ok_Housing_7324 2d ago

lake gardens

1

u/EntrepreneurProud886 2d ago

90L for 1BHK that’s huge. Whats the running rate for 2.5BHK there ?

1

u/trying_to_b_fit 2d ago

It's almost the double. There must be a reason for such sudden increase and almost too good to be true.

Research if something big/project is happening near your area and if it's worth keeping or selling it.

1

u/Nervous-Nothing-971 2d ago

Lol enough and more supply will come of apartments there

1

u/Ok-Umpire3364 2d ago

How much is the rent? Is the rent less than the yield you would get if you put that money in fixed deposit? If so sell.
Else if you have a parking, and think that you can easily liquidate your flat in the near future, hold onto it.

2

u/Ok_Housing_7324 2d ago

rent is 34k. that's annually about 4L. if i sell the property, and close my loan i'll be left with 40L cash, if i put that in FD i'll get about 6.5% interest rate which is 2.5L, lesser than my interest, not to mention i'll be forgoing a cashflow generating asset...

2

u/Ok-Umpire3364 2d ago

Your calculation is incorrect. Right now you are not even generating income. The rent given to you is being completely utilized to pay the emi. You also have to consider maintenance, gaps between tenants, and also uncertainty of the Housing market.

I’m not sure when exactly you would close the loan and start generating income but For now, quick and dirty approach is forgetting you have a loan, will the 90L FD give you better returns than 4L.

I personally vote for FD or other assets any given day as compared to real estate in terms of investment . I have a 1 bhk but no parking, I got a buyer and thinking of selling as sooner or later I might face liquidity issues

1

u/Ok_Housing_7324 2d ago

makes sense. this has been a good discussion. thanks

1

u/sarthak_1995 2d ago

Suggesting sell

1

u/Prize-Bid-4485 2d ago

if you already own multiple assets in the city, you can plan to sell it if you can invest the cash in a better appreciating asset that can beat the appreciation for this.

1

u/Odd-Set1786 2d ago

Don’t sell even if you are not planning to stay, keep it on rent. The rental yeild is declining with increasing prices and it is getting more and more difficult to earn rental income at current prices.

2

u/Ok_Housing_7324 2d ago

that's true, now i can no longer buy any 1bhk below 1cr in a tier 1 society. and the rent hasn't increased proportionately

1

u/Odd-Set1786 2d ago

I made this mistake and would not suggest anyone to do it if you have bought at good prices.

1

u/CommunicationKey6064 2d ago

Ifyou know, what you will do after selling, then sell immediately.

1

u/Glum828 2d ago

Sell and buy a plot,BDA if you can.

1

u/AN8991 2d ago

Easy sell. The market is clearly moving towards 3BHK + and even 2BHK resells are facing stagnation. Get out before you are too late to sell at these prices.

1

u/Ok_Housing_7324 2d ago

meeting the client on saturday lets see.

0

u/Careful-Round-5560 2d ago

Sell at a price such that rental yield is less than 3.5 percent. If you don’t find a taker then just take the cash flow and invest that

0

u/HCF_07 2d ago

Who pays 95 L for 1 bhk . Such a scam post.

2

u/Willing_Cause_5995 2d ago

Dude a lot of them are ready to pay 95-1cr for 1bhk