Gurgaon, also known as Gurugram, has become a major commercial district in the country. Located over 30 km from the capital city, Delhi, this city spans over 1,253 square kilometres and is the second-largest city in Haryana. Gurgaon is also considered one of the most important satellite cities of Delhi. In the last 25 years, it has witnessed a massive development in infrastructure. Currently, the city has the highest per capita income in Haryana at 4.46 lakh INR.

Owing to its strategic location, proximity to the capital city, modern transportation facilities, and infrastructure, Gurgaon has become a highly sought-after area to invest in properties.

Investment in Residential Real Estate in Gurgaon

Investing in residential real estate has been the traditional route for many Indian investors, and the same applies to Gurgaon. Residential properties in the city offer a great sense of safety and security, serving as a primary need and being less susceptible to market fluctuations. Additionally, the various initiatives by the government, such as affordable housing schemes, sectors, and tax benefits, make this city a desirable location for investment.

Here are the benefits of investing in residential properties in Gurgaon:

• The areas such as DLF City Phase 4 and 5, Nirvana Country, and Sector 49 are potential areas for capital appreciation over time. These areas continue to expand, leading to price escalation.
• The rental income from these properties can supplement your cash flow, offering a steady income.
• As Gurgaon has many prime residential areas, the standard of living is at par excellence. They are home to numerous facilities, including parks, hospitals, grocery stores, and more.
• Many residential areas in Gurgaon do not facilitate economic downturns. Thus, if you want to rent out these properties, it will give you good rental income.
• You can check out various properties, including low-rise and high-rise apartments, independent houses, and more, and invest as per your budget.

Investment in Commercial Real Estate in Gurgaon

As stated, Gurgaon is a major IT hub and the employment opportunities throughout the city seem to be growing by leaps and bounds. In the past few years, the commercial real estate segment in the city has gained immense traction among investors seeking higher returns and diversification. Various commercial properties, such as office spaces, retail spaces, and warehouses offer several advantages in the current investment scenario.

Here is why investing in commercial real estate in Gurgaon may be a great deal for you:

• Commercial real estate properties in areas like MG Road, Sohna Road, and DLF Cyber Hub have great potential for rental yields. In some instances, the yields are higher than residential properties.
• Businesses in retail and office sectors are willing to pay a premium for well-located spaces offering visibility and accessibility. Thus, you can invest in a commercial space with an easy commute and rent them at great prices.
• The increasing startup culture in Gurgaon has given rise to the demand for quality commercial spaces. Even multinational companies look forward to setting up operations in the city, thus opening many doors of profit for property investors.
• Investing in commercial real estate in Gurgaon offers diversification by reducing the overall risk in any investor’s portfolio. Unlike residential property, commercial real estate is more closely tied to the performance of the industry or business, making it less vulnerable to individual financial woes.

Which One is Better – Residential or Commercial Real Estate Investment?

The choice between the two is entirely subjective and is characterised by many factors, including your preference and budget. If you are an initial investor, investing in residential real estate may be the right choice. On the contrary, if your investment portfolio is strong and you have enough capital, you can consider commercial real estate.

We advise you to consider your investment horizon, risk tolerance, and financial goals. If you seek long-term wealth creation, residential properties may be the right choice. On the flip side, if you want higher yields and the potential for faster growth, you may find commercial properties a better option.

Takeaway

Both these options offer viable investment options with unique pros and cons. As the market continues to evolve, a well-researched and balanced approach backed by expert advice will help you make the right choice.