My(Pravin Girde) observations on Investments.

In past I mostly traded in real estate within city, but there was a huge issue of liquidity as well the returns on investment was very less. Let’s have an example . I have a row house in Pune, I purchased it 8 years back for 1 Crore, but the property multiple is very less as well the rent I am getting is merely 25000.and I cannot sell it overnight, property tax 18000 per year , one month’s agent commission and maintenance and all.

Then I came across few of the article about investment in Farmland. As per them the govt is working on GR which states that if you do not have Farmland beforehand then u are not eligible to purchase the new land as farmer, but you will be treated as investor, hence u won’t get any subsidy, farmers loan, and the land transaction will attract the GST and capital gain, for purchasing farm u have to have Farmers certificate ,which u can check on Google, it takes away fees as well time and still shortened facilities.

Which made me to invest in Farmland and I did some research on this sector, please check my observations. Hope it will help you.

Because of corona market took a deep breath. But now market is kind of stable and walking the line I had purchased few properties and the returns will surprise you.

1.5 yrs back I purchase 2 acres in adka/temasna (from Nagpur 12 km) for farmhouse the rate was 14 lacks per acre and within 1.5 yrs now the rate are 45 lacks per acre

3.5 acre in Ubda for 7lacks per acre now it’s 15 lacks per acre 7yrs back 0.7 acre in nandori road hinganghat for 20 lacks now it’s 80, 6 yrs back 1.5 acres in warora for 34 lacks and two months back sold it for 70 lacks.

My business is Agriculture related to travelled almost all part of India and amazingly our region have the lowest rate of land, but now the consolidation is over and the rates of farms are increasing. Two years back we could easily get a farm in remote under 3 lacks but now the baseline shifted to 5 lacks. Overvalued properties are still cooling off . But the undervalued properties are climbing the ladder.

If you do not have Farmland I would request u to please purchase minimum 2 acres so that at least your kid will have a option of selling or purchasing with a tag of farmer. Without attracting dues and taxes
For investing we have to observe few things ,like check if there is any upcoming project coming .

Property should have road access, and all Last month Nandori -hinganghat road started putting up TAR . I almost finalised a property on same road for 25 lacks per acres but suddenly rates went up for 30 lacks.

So please have your option of purchasing Farmland as good investment opportunity Due diligence is must and should be done through proper channel when purchasing I learnt it hard way.

Like few years back purchased a land of 10 acres for 90 thousand per acre and under pressure of few agents sold it for 1.3 lacks per acres. And just after 4 years same land is 5 lacks per acres.