Guide for Davangere Commercial Real Estate Investment 

Davangere is a developing tier II city and an upcoming smart city in Karnataka. The state government has undertaken several opportunities in current times to enhance its agricultural sector, textile industry, etc. 

There are various tourist places like Harihara, Anekonda, Balleshwara, etc. Local as well as foreign people come from outside to visit these places in Devangere. Apart from that, there are also various colleges, schools, etc., in this area.

Read along to know more about the different investment opportunities in this area.

Top Reasons to Invest in Davangere Real Estate

There are many reasons to invest in a developing city like Davangere.

• Textile Industry

Situated not far from the Tungabhadra river, the city of Davangere is famous for its textile industry. Surrounding villages have small industries making wool and hand-loom cotton. It is also a famous hub for trade and commerce. Moreover, the connections by rail and road junctions aid in the export of these products to far and wide places.

• Passive Income

There are abundant ways to income in miscellaneous investments in a city as developed as Davangere. Innumerable medical colleges are present in this area which calls for various real estate investment options. 

Moreover, very recently, Davangere gained the title of ‘smart city’. Hence, renting places here will get you assured profits.

• Tourist Hub

Davangere is known mostly for its religious tourist spots. Some of these tourist destinations include Kalleshvara, Harihareshwara, Durgamma and Veerabhadra temples. Apart from these, there are also places like Shanthi Sagara Lake, which is one of the largest lakes in Asia. 

Investors can gain easy profits by investing in these locations since ample investment options are present in the growing tourism sector.

Commercial Real Estate Investment Opportunities in Davangere 

Here are some of the places to invest in Davangere:

• Harihar

Major attractions of this region are Harihareshwara temple, Mylara Lingeshwara temple and Glass House. Not far from the national highway and Kundawada Lake lies the Glasshouse enclosing a botanical garden. Harihar is famous as a religious site where lots of people visit the Harihareshwara temple, also known as Dakshina Kashi. It also features as the ‘Industrial hub of central Karnataka’.

There are ample opportunities for investing in this region. Prices in this locality are around ₹ 35 Lakh.

• Avaragere

Highway 76 runs through the middle of Avaragere and it has many spots where you can make real estate investment. Other than this, there are hospitals, ATMs, warehouses, and petrol pumps as well.

The price of properties in this locality start from ₹ 3 lakh. 

Things to Consider before Buying a Commercial Property in Davangere

These are some of the things to remember while getting a property in Davangere.

• Connectivity

Ensuring that the property you are purchasing has good connectivity will help in gaining more profits. Devangere is connected by rail, road and air, domestically and locally. Jindal Vijayanagara airport is the closest airport to this region.

In terms of railways and roads, major cities like Bangalore, Mysore, etc., are connected to Devangere. Locally, there is an excellent domestic connection by bus. Taxis are also available.

• RERA Verification

Checking whether a property adheres to the norms of RERA is crucial to make sure that there is no fraudulent activity connected to the estate you are purchasing. Make sure to check whether a property in Devangere is RERA-approved by visiting the official RERA website of Karnataka. 

• Amenities

See if there are ample amounts of local amenities around the estate you’re purchasing. This will not only bring you enough profit generation opportunities but also increase the value of your property.

Stamp Duty in Davangere, Karnataka

Following is the list of stamp duty charges you’ll need to pay while investing in properties in Davangere: 

Registration Charges in Davangere, Karnataka

Registration charges for real estate purchase in Davangere are mentioned below: 

Davangere Commercial Real Estate Sector: What’s the Forecast?  

The booming textile industry is one of the plus points of Davangere. Moreover, with the aid of the government, this will gain a promising place in future. 

Certain projects like upgrading it into one of the smart cities by 2023 are still in progress. It is predominantly known as the ‘Manchester of Karnataka’ because of its industrial importance in various sectors.

Moreover, it is also connected domestically as well as internationally. These are some of the major reasons for investing in this area.

Commercial Real Estate vs Other Asset Classes

Here’s the comparison between commercial real estate and other asset classes: 

• Commercial Real Estate vs Stocks & Mutual Funds

In comparison to mutual funds and stocks, commercial real estate offers low returns. However, it is not as volatile as the former one. Returns from mutual funds and stocks tend to fluctuate depending on market conditions.

• Commercial Real Estate vs Residential Real estate

Investors have the option to generate passive income from both commercial and residential estate investments. However, commercial real estate gives higher returns at moderate risks. Furthermore, there is more demand for commercial estates than residential properties. 

• Commercial Real Estate vs Gold

Gold is much safer for investment purposes, and it also carries a low risk. Compared to commercial estates, it has high liquidity. Whereas, on the other hand, commercial estates give stable moderate returns with moderate risks. 

• Commercial Real Estate vs Bonds

Bonds act as source of passive income just like commercial real estate but there is high credit risk in the case of the latter. There is a fixed income and time frame for bonds, unlike commercial estate. 

If you wish to invest in low-risk bonds to generate stable returns, register on our platform today. Invest in the top-rated bonds available in the market at zero additional costs and hidden charges. 

Given in the table below is a comparison between the different asset classes based on the returns, liquidity, risk, volatility and ticket size:

Steps to Invest in Commercial Real Estate in Davangere

Here are the steps to invest in commercial real estate in Davangere: 

Step 1: Look for an experienced broker who would be able to help you with finding the right estate. Do a background check or simply ask the broker about their experience since more experience means that they can give you better advice. 

Step 2: Fix an investment budget and let the broker know of that.

Step 3: Do thorough research and also take the broker’s advice in making a list of locations of your choice.

Step 4: Shortlist some properties as per your requirements and plan a field visit to each one of them. 

Step 5: After finalising a location, prepare the necessary documents for purchase. 

Step 6: Complete the payment process. Clear all the stamp duty and registration charges. 

Step 7: Pay the broker’s commission after you’ve successfully bought the estate or property.

Final Word

Davangere is one of the rapidly developing areas showing promising signs for commercial real estate growth. Apart from tourist spots, schools, colleges, etc., the weather of the area also favours the businesses in this region. Hence, if you want to invest here, there are many lucrative options. 

Frequently Asked Questions