Factors that affect Farmland

Values
Almost two decades ago, farmland prices were consolidated with little to no buyers. One reason behind this could have been regulations for preventing land ownership concentration. Another reason could be that buyers had limited reasons to purchase land. However, looking at the present statistics, one can say that the times have changed and the outlook of buyers toward purchasing farmlands is continuously changing for the better.
The demand and supply in the market play a major role in deciding the prices for farmland. Demand greater than supply leads to higher prices while demand lesser than supply leads to decreased prices. Let us now take a look at some of the major factors that affect the demand for farmland and ultimately affect farmland prices:

1. Growing demand for houses: There are two things that make investors want to buy farmland. First, liberalization increased the number of jobs and incomes and made more people want to buy homes. Second, until the middle of the 1990s, almost everyone bought a house with cash. Around the year 2000, the credit housing market started to grow. This has brought a huge number of new people into the housing market. This has made land prices go up. As builders and buyers move to towns and villages, their demand drives up the prices of farmland faster than other financial and real assets.

2. Profitable Investment: Even investments in urban property haven’t done as well as those in farmland. Land that is only used for farming appreciates faster. This has made investors a second group of people who want to buy.

3. Commodity prices: When the prices of commodities like grains are low, the farmers lose their ability to spend much on land. This decreases the demand for land and leads to a decrease in prices.

4. Location: Location plays a key role in any real-estate purchase decision. In India, farmlands are mostly concentrated in rural or semi-urban areas that have little to no development. Still, people started buying land far from cities when they saw land prices in peri-urban areas going up because they thought they would make a lot of money when the city grew. In the same way, businesspeople in small towns knew they couldn’t buy land near big cities, so they started buying land on the edges of their own towns. Their bet is that rates can only go up because as the population grows, there will be less land to go around.

5. Soil type: If the quality of the soil of any particular farmland is good, it is likely to retain a value that is stronger and longer than land with low-quality soil.

6. Stock market: If the stock market is bearish, many investors look for alternative ways to invest their money for better returns. Investing in farmland is one such investment option. This too increases the demand and prices of farmland.

8 Tips for a successful Investment Decision

Investing the money, you saved up with a lot of hard work considerably gets you in a situation where you are set to keep it safe and bring in the best possible profits in your wallet. Making the right investment decisions is the key to achieving the same. In this article, we aim to give you the best possible tips on how to make successful investment decisions.

Know it all.
Before making any kind of investment decisions open the barricades of your cognition and let more knowledge get in. The more you research, the wiser you become in terms of making a decision.

Have a plan.
Making investments is a long-term process which requires adequate time frame management and the knowledge of the amount of risk the investor is ready to tolerate. Before arriving at a decision, don’t forget to have a plan that includes all that is required to get you profits in the long run.

Choose the right markets.
With ample markets out there to invest in, there are no shortages of options. However, one must preferably pick markets that offer more returns and lesser risk. While investing in stocks, one can be at a high rate of risk due to market fluctuations. Whereas, making open land investments can offer lesser risks while giving you better ownership facilities. However, as an investor, dividing your investments into different spheres can help you achieve a lesser risk potential.

Study the markets thoroughly.
Once you decide the type of investment you want to make, study the market and its ups and downs thoroughly along with how they work and what will get you the most out of your investment in that particular market.

Beware of scams.
Always double-check everything before signing agreements and making commitments. Investing is a professional sector and thus relying on someone based just on their behaviour or sweet talks can be a risky business. Check all documents and beware of scammers to keep your money safe and make the right investment decisions.

If it’s real estate, be real.
Real estate investments are more stable and ask for lesser hassles. A good study of real estate gives you enough insights on investing righteously based on land locations, the value of the property, investment horizon, expected cash flow or profits and of course the market functioning.

Selection of properties.
The one question you must always ask yourself before investing in real estate is what type of property you are willing to invest in. While an already-built property offers you different kinds of profits, an open land investment gives you more opportunities to expand your investment the way you desire.

Patience is the key.
As an investor one must be aware that investment in any kind of market takes a long time to bring you profits of considerable size. Sitting back and overseeing your investments while making the required modifications is the key to pocketing the most returns and the make best out of your investments.

How the Hyderabad Real Estate market is growing and why you must invest in Green Valley

If you run into a friend from outside Hyderabad, perhaps a metropolitan, you would probably hear them say that Hyderabad is still reeling from its state partition and the gloom of the economic slowdown. Little do they know that Hyderabad is quietly running away with world awards in livability and real estate affordability. We’ll come back to the latter part in a bit. In reality, like other cities across India, the slowdown has subsided and the real estate market is seeing an upward trend thanks to the pouring investments and world-class infrastructure.

If you took that friend to the many locales in and around the Madhapur village, which isn’t a village anymore, he would notice a booming and bulging Hyderabad. Gachbowli, Financial District, Narsingi, Kokapet, Raidurgam, etc. have together formed the IT hub of Hyderabad and hence is emerging a major residential township.

It is because of the continuous investments, with already-established companies (e.g., Google Amazon, Deloitte, Oracle, Novartis, Facebook), that have made Hyderabad a truly cosmopolitan metro. While business is on a rapid rise, the real estate market has seen expansion like never before. Here, a two-bedroom premium apartment in highrises is available at a price starting INR 45 lakh. It comes with many basic amenities such as a clubhouse, gym, swimming pool, among others. Prices around Gachibowli have touched INR 10,000 per sqft and the choice of better infrastructure and proximity to office hubs and Outer Ring Road is drawing people to this region. That is not all; Hyderabad is expanding in all directions. While people boast of Hi-Tech City and Gachbowli and surrounding areas, the Hyderabad Metro connectivity has made real estate see a good rise in other parts of the city (e.g., Nagole, Rajendra Nagar, Kompally), which are all accessible by superb public transport. Other localities such as Medchal, Adibatla, Boduppal, Keesara, Hayathnagar, etc have affordable housing to offer at below INR 4000 per sqft.

Now comes the fun part that puts Hyderabad on the global map (as if it isn’t already!) The city was recently adjudged the world’s most dynamic city among 130 cities in the seventh edition of ‘The City Momentum Index 2020’ by global real estate services firm JLL. The city also has the highest office net absorption (as a proportion of existing stock) of any city globally in 2019. These are some dynamics that make Hyderabad’s real estate market a thing to have both eyes on. It gets companies like ours motivated as it opens up endless possibilities. We are in the business of real estate and our dream is for people to own affordable pieces of land and have better yield on their investment in real estate.

Green Valley: a dream to own!

Green Valley is one of our prime and ongoing projects in Shadnagar Town. It is being built with a vision to give you guaranteed income on low investment. Located behind the National Remote Sensing Centre, about 20 minutes from Rajiv Gandhi International Airport, Green Valley Farm Plots are full of Sandalwood plants, Mango plants, Guava plants, Jamun Fruit plants, Custard Apple plants. It is surrounded by international schools and educational institutions, MNCs and above all comes with the commitment of Dhruva Projects, an ISO 9001-2015 certified company. It makes for an evergreen living.

Some exciting specifications of Green Valley include 24 acres layout, 352 plots in all, six different sizes. It is yet another leaf in Hyderabad’s booming real estate chapter. And it isn’t too hard to make it yours.

Invest low now, get high returns!