“Ideas can be fictitious but decisions need to be practical.”
The value of commercial goods and services has been raised in rocket speed due to the emergence of a modernistic approach towards life and lifestyle. Despite of what comes in is less, people are fantasized to own things as per their wish.
Eventually, Commercial Property Investment has always been a mystery for a common investor. There is a general perception that Commercial Property Investment is meant only for the business class or for the big investors. Though it is not true always, still, most part of the public settle with residential properties for its low perceived risk. On the other hand, the perceived risk is high for Commercial Property Investment. Commercial Property Investment is a broader term and may include Shop, Office Space, Land etc., each of them having its own pros and cons.
One of the emerging trends is leasing the commercial property instead of outright sale by the builders which are true mostly for prime/premium locations. Not all builders venture into commercial property sector, only some of the builders specialize in commercial property. Therefore, it is recommended that investor should trust only those builders who specialize in commercial property. Destiny of such Commercial Property Investments are getting boosted as, many employees have now turned into entrepreneurs and it is also advisable to not have a commercial property investment as your first property investment.
“Without investment there will not be growth, and without growth there will not be employment.”
~ Muhtar Kent
Annual Value is the amount for which the property might be let out on a yearly basis, otherwise it is the estimated rent that you could get if the propertywas rented out.
To determine the Annual Value of a house property you need to consider four factors such as,
- Municipal Value to derive the annual value of your property.
- Fair Rental Value to estimate the rent of similar properties in and across your region.
- Standard Rent, to decide the annual value of the property and
- Actual Rent Received or Receivable to be noted to estimate the annual value.
Net Annual Value of a house property which is let out will be calculated as;
= Gross Annual Value – Municipal Taxes paid
- Gross Annual Value = Higher of Actual Rent Received or Expected Rent
- Expected Rent = Higher of Municipal Value or Fair Rental Value but restricted to the Standard Rent
In case of one self-occupied property, the Annual Value is taken as nil. Deduction of 24% for interest paid may still be claimed therefrom. The resulting loss may be set off against income under other heads but cannot be carried forward.
If more than one property is owned and all are used for self-occupation purposes only, then any one can be opted as self-occupied while the others are deemed to be let out. Annual Value of one house away from workplace which is not let out can be taken as NIL, provided that it is the only house owned and it is not let out. If a let- out property is partly self-occupied or is self-occupied for a part of the year, then the value in proportion to the portion of self-occupied property or period of self-occupation, as the case may be, is to be excluded from the annual value.
On the whole, Nest Habitation Developers Pvt Ltd’s , HAIKU is a deliberated form of building, holding all important aspects in reference and in acceptance.