Owning Your Future: How Real Estate Is A Stable Path To Wealth Creation

By Viineet Chellani

New Delhi, April 10, 2025: Homeownership has always been a preferred investment choice for ages—not just for shelter but for building generational wealth. However, the availability of various instruments, such as the stock market in modern times, while on the one hand has offered new avenues, but it has not been able to take the sheen away from real estate. As the sector in India gears up to contribute 10.5 per cent to the GDP by 2034, up from 7.3 per cent today, according to the Knight Frank and CII report, the writing on the wall is clear: property ownership is a cornerstone of financial stability and prosperity. Let’s explore why bricks and mortar remain one of the most reliable vehicles for wealth creation.

The Economic Backbone: Real estate’s Rising Dominance

India’s real estate market is poised for a historic leap, projected to grow three-fold to $1.5 trillion by 2034. At the heart of his growth is urbanisation. With 42.5 per cent of India’s 1.55 billion population expected to reside in cities by 2034, it requires 78 million new housing units over the next decade. For investors in real estate, this translates to long-term appreciation, and with property values outpacing inflation and stock market volatility, it translates into high capital appreciation.

Regulatory Confidence: RERA’s Role in Safeguarding Investments

Gone are the days of opaque dealings and stalled projects. The Real Estate Regulatory Authority (RERA) has revolutionised buyer confidence by mandating transparency—70 per cent of project funds are now secure in escrow accounts, shielding buyers from insolvency risks. RERA has turned real estate into a structured, low-risk asset class. This regulatory backbone, coupled with uniform pricing and accountability, has attracted $4 billion annually in foreign institutional investments, further stabilising the market.

Wealth Multipliers: Appreciation, Leverage, and Passive Income

Real estate’s dual returns—capital appreciation and rental yield—make it uniquely lucrative. For investors, leverage amplifies gains: banks finance up to 80 per cent of property value, enabling asset acquisition with minimal upfront capital.

A home isn’t just an asset; it’s a financial engine. Rental income can cover loan repayments within years, while tax deductions on interest and capital gains enhance net returns. Further, tax benefits recently extended to the second home have amplified the wealth creation potential. Unlike mutual funds, which hinge on market whims, real estate offers tangible collateral, often appreciating even during downturns.

While equities falter in recessions, real estate’s intrinsic demand sustains value. Moreover, real estate is recession-resistant and is always needed. Additionally, as discretionary spending rises, commercial spaces are also offering investors diversified opportunities, both rental income and steady price appreciation.

Homeownership isn’t merely about owning a roof—it’s about anchoring your financial future in an asset that grows with the economy. With India’s real estate sector set to add $1 trillion in value this decade, the moment to invest is now.

To conclude, property remains a steadfast pillar of wealth. Whether you’re a first-time buyer or a seasoned investor, the path to prosperity is paved with bricks and mortar. Own your future—one square foot at a time.

The author is Founder and CEO of Asset Deals