Guide for Lal Bahadur Nagar Residential Real Estate Investment

Lal Bahadur Nagar, in the state of Telangana, has succeeded in presenting a template for comprehensive development for the other major locales of India. For an instant, an absolute overhaul of the infrastructural framework of the area has been a testament to the local authorities’ attempt to ensure the utmost comfort for the residents here. 

Such approaches towards refining the standard of living here have undoubtedly attracted the attention of major residential real estate developers in India. Therefore, Lal Bahadur Nagar is rapidly becoming a major hub of the housing sector in the state of Telangana. So, if you are considering investing in the residential property market here, it can turn out to be a profitable venture down the line. 

Why Should You Invest in the Real Estate Residential Sector in Lal Bahadur Nagar? 

You can consider entering the Lal Bahadur Nagar residential real estate sector because of certain specific reasons which have been discussed below: 

  • Better Amenities Available for the Residents 

The Strategic Road Development Programme or SRDP, which has been undertaken in Telangana, has led to a ₹1200 crore expenditure targeted towards the benefit of this locality’s transportation conditions. Similarly, the concerned authorities have spent an additional ₹450 crore to improve the drinking water facilities available here.

  • Proximity to Metro Railway Service Facilities 

In the fast-moving lifestyle of modern times, residents will be looking forward to having interconnecting transport links within their reach. Lal Bahadur Nagar is also quite lucrative in this regard too. To elaborate, there is a dedicated Red Metro Line for this neighbourhood, running in-between LB Nagar to Miyapur. 

Therefore, this increased traffic capacity leading to a comparatively hassle-free commuting experience can become a unique selling point for the residential real estate fields here. Therefore, whether you are planning to rent out the property or considering its resale value in the long haul, this factor can positively affect the plot’s value. 

  • Developing Industrial Cluster 

Some of the leading electrical, engineering, as well as fast-moving consumer goods [FMCG] manufacturers, had established their plants in Lal Bahadur Nagar, leading to a thriving commercial sector here.  Therefore, people from all around this country have been showing an increasing interest in this locality as a potential area of employment. So, you can consider renting out your property in order to appeal to workers from other states looking for job related accommodation. 

  • Leading Educational Institutions 

The neighbourhood of Lal Bahadur Nagar can be especially lucrative for families with children. There are a number of leading schools in this locality that follow standard syllabi to ensure the pupils are prepared to appear in nationwide competitive exams. 

Moreover, even for someone pursuing a higher education degree, living in this locality can be highly beneficial. Lal Bahadur Nagar is home to some of the most reputable colleges in Telangana, providing a wide range of courses to their students. 

  • Improved Healthcare and Environment Conditions 

The residents of this locality can rest assured about having cutting-edge emergency and trauma care within reach during an hour of crisis. Some of the state-of-the-art hospitals of Telangana are within a 3-kilometre distance from Lal Bahadur Nagar, making it easier for the citizens to access instant primary treatments without hassle. 

Keeping the overall well-being of the citizens in mind, the local authorities of this place have also taken significant steps to mitigate environmental pollution in this area. For example, regional administrators have overseen operations to clear out piled-up garbage from the sidewalks to ensure using the roads can become effectively comfortable.  

Places in Lal Bahadur Nagar Where You Can Consider Investing in Residential Real Estate 

Some of the areas in Lal Bahadur Nagar where you can invest in residential real estate include:

  • Inner Ring Road 

The Inner Ring Road is one of the most bustling localities of Lal Bahadur Nagar. With a highway connecting this locality to the major highway of Hyderabad, it has become exponentially easier for dwellers to commute to the major landmarks of the state. Plus, the authorities here have taken significant steps to ensure the environment remains clean and pollution-free. 

  • Green Hills Colony 

A popular neighbourhood in Lal Bahadur Nagar, Green Hills Colony is known for its serene and homely surroundings preferred by families moving into this area. Moreover, different IT hubs around this area have also increased individuals coming in here from different parts of the states, leading to a rise in the demand for rental homes.  

Things to Consider Before Investing In a Residential Property in Lal Bahadur Nagar 

Before investing in a property, every buyer must keep certain factors under consideration. These had been discussed below.

  • Amenities Available 

Ensure that all the amenities needed for a comfortable livelihood are available in this locality or not. For instance, ensure that there is no shortage of power supply or frequent issues of power cuts. Additionally, if you are a car owner, check with the real estate developer that there are adequate parking facilities present in the building. 

  • The reputation of the Neighbourhood and the Real Estate Developer 

In order to ensure a safe and comfortable living experience for you or your tenants, it is a must that you conduct a proper background check on the locality. So, make sure you can avoid investing in an area with a higher crime rate, or one that is exponentially far from the local police station.

Similarly, you also have to consider the reputation of the real estate building company that you are dealing with. A proper idea about its portfolio or testaments from former clients can give you a brief overview of whether this company will provide proper raw materials or ensure the constructional integrity of the building. Therefore, you should look up the developer online and make personal visits to the properties before finalising anything. 

  • Your Budget Concerns 

To ensure you are not going over budget during the property acquisition procedure, it is best to have an in-depth fiscal estimation prepared. So, it is better to get in touch with a financial consultant in this regard. Please keep in mind that there will be certain additional charges for maintenance, registration, or stamp duty purposes. So, when you chalk up an initial budget, keep this expenditure in your consideration. 

  • RERA Authentication

In the year of 2016, the Indian parliament introduced the Real Estate Regulatory Authority Act to ensure potential homebuyers can enter the real estate investment market without any risk of dealing with fraudulent activities. Therefore, every property – be it residential or commercial – has to be registered with the Real Estate Regulatory Authority or RERA of the state where it is located.

Therefore, when you are investing in the residential sector in Lal Bahadur Nagar, make sure to visit the official RERA website of Telangana so that you can verify the provided details of the real estate you are interested in. 

Stamp Duty and Registration Charges Applicable in Lal Bahadur Nagar Residential Real Estate Property Sector 

The details of stamp duty and registration charges that you will need to pay for residential property in Lal Bahadur Nagar gets decided by the state government of Telangana. 

These charges had been discussed below for stamp duty:

Types of Residential Property Stamp Duty Charges 
Immovable property located in the selection or special grade municipalities and corporations 4%
A real estate plot in other areas 4%
Furnished or semi-furnished apartments and flats in any locality 4%
A property whose sale agreement has been done with a general power of attorney. 5%
Plot with a sales deed with possession4% 
Plot with a sales deed without possession 0.5%

Similarly, the rates for registration fees are as follows:

Types of Residential Property Registration Fee Payable 
Immovable property located in the selection or special grade municipalities and corporations 0.5
A real estate plot in other areas 0.5%
Furnished or semi-furnished apartments and flats in any locality 0.5%
A property whose sale agreement has been done with a general power of attorney. ₹2000
Plot with a sales deed with possession0.5%
Plot with a sales deed without possession 0.5%

Future Prospects of Lal Bahadur Nagar Real Estate Sector 

An all-inclusive and sustainable growth prevalent in the economic standards of Lal Bahadur Nagar continues to attract the attention of real estate developers from different parts of this country. For starters, the Telangana State Road Corporation is working towards improving the transportation conditions of the place even more, so that intra-city travel among crucial parts of the locale can become easier.

This appreciation towards building an interconnected community can also be seen in how the MMTS and APSRTC bus networks operate in the state, pushing the envelope even further towards a centralised metropolisation. 

With around 83% literacy rate in Hyderabad, Lal Bahadur Nagar has also benefited from the educational development projects undertaken by the state authorities. For instance, in the middle of 2022, the Telangana government launched a flagship project called ‘Mana ooru – Mana badi’. With a substantial budget, the primary concern of this mission is the infrastructural overall of the educational institutions located in the state. 

All of these aforementioned reasons further highlight why the attention of urban Indians has turned towards Lal Bahadur Nagar. Therefore, if you are considering investing in the residential real estate sector here, it can be a highly beneficial decision from your end. 

Comparison Between Residential Real Estate and Other Asset Classes

The central d aspects where investing in residential real estate can differ from other asset classes has been discussed below. 

  • Residential Real Estate Property vs. Commercial Real Estate Property 

When compared, investing in residential real estate can be less of a hassle than doing the same for its commercial counterpart. To elaborate, the longer leases applicable for commercial properties cause you to spend additional amounts as an initial investment. Moreover, due to the nature of business clients, historically it has taken up more time to find a tenant for commercial plots. 

On top of that, when you are investing in residential real estate, you can enjoy certain tax benefits which are otherwise not available for investing in commercial property. 

  • Residential Real Estate vs. Gold 

Investing in gold can be beneficial to beat the adverse effects of inflation. Moreover, due to the liquid market of gold, you can consider investing in it for both short and long-term financial goals. 

However, the value appreciation of gold is also symbolic of the devaluation of the paper currency available in the market. Therefore, the profit received at the end can be exponentially minimal. On the other hand, residential real estate investment provides you with a scope of comparatively higher returns down the line. 

Moreover, if the mood of the market improves, so can the value of your property. Therefore, whether you are using rent as a passive source of income, or are considering reselling the property during the long haul, such investment can be highly advantageous for you. 

  • Residential Real Estate vs. Stocks and Mutual Funds  

Although it can fetch a higher rate of return, investing in the stock market can come with an inherent risk quotient. As can be substantiated by recorded data, this market can be highly volatile. So, a profitable return is not guaranteed. 

On the other hand, residential real estate investments can be an ideal risk-averse alternative. A steady and unrestrained flow of rental income provides a predictable fiscal inflow. Therefore, it becomes easier for you to maintain financial discipline. 

  • Residential Real Estate  vs. Bonds 

Both residential real estate and bond investments can be potentially beneficial for you. Residential properties and bonds both require you to spend a comparatively lower amount as initial capital. Therefore, you can enter the market with a limited investment. 

Due to this lower initial expenditure, the rate of return can be higher in both this scenario. Moreover, due to the capital protection policies in place, you are guaranteed to get back your preliminary investment for holding the bond till its maturity period is over. 

Below, a compact table is provided to point out the crucial differences between these asset classes:

ParametersResidential Real EstateStocks & Mutual FundsGoldCommercial Real EstateBonds
ReturnsModerateHighModerateHighModerate
LiquidityLow High High Low Moderate 
RiskLow High Low Low Moderate 
VolatilityLow High LowLow Low 
Ticket SizeHigh Varies LowHighVaries 

So, if you are interested in investing in low-risk bonds, consider registering with us without any further delay. Here, we are determined to ensure absolute transparency. Therefore, you can rely on us not having to pay any additional or hidden charges. 

Steps to Invest in Residential Real Estate Sector in Lal Bahadur Nagar 

In order to invest in the residential real estate sector in Lal Bahadur Nagar, you can follow the steps mentioned below:

STEP 1: Make a budget without compromising your long-term economic objectives. 

STEP 2: Conduct comprehensive background research to get crucial information about the available properties in the locality of your interest. 

STEP 3: Visit these sites personally. 

STEP 4: Make a decision about which plot you want to invest in.

STEP 5: Verify the RERA authenticity of this property. 

STEP 6: Complete the monetary transactions in order to officiate the legal transfer of the property’s ownership.

STEP 7: Get an adequate insurance plan for your house. 

Final Word

As an industrial focal point of Telangana, Lal Bahadur Nagar has recorded significant developmental achievements in recent times. As a result, residential property developers are showing a renewed interest in the plots here. So, market experts are projecting a boom in the real estate sector of this locality. So, if you are going to invest in residential properties here, that can be highly beneficial for you. 

Frequently Asked Questions

What is the average return rate on residential real estate investment?

Over the course of 10 years, you can generally receive a return of 10%.

What is the importance of registration fees?

You will have to pay this fee to legally register all the documents related to your property purchase so that these can be admissible in a court of law.

Is a PAN card necessary for a property purchase?

You have to produce your PAN during property registration.

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Disclaimer: This article has been prepared on the basis of internal data, publicly available information and other sources believed to be reliable. The article may also contain information which are the personal views/opinions of the authors. The information contained in this article is for general, educational and awareness purposes only and is not a complete disclosure of every material fact. It should not be construed as investment advice to any party. The article does not warrant the completeness or accuracy of the information and disclaims all liabilities, losses and damages arising out of the use of this information. Readers shall be fully liable/responsible for any decision, whether related to investment or otherwise, taken on the basis of this article.

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