How small apartments can add value to monthly income?

Choosing a real estate property is generally tricky and time consuming. There are various factors that we have to consider before finalising one. This is kind of normal because it is our hard earned money that we invest. Real estate deals come with a lot of IFs and BUTs. People have to think a lot before reaching a decision.

Property deals also involve frauds and anyone who doesn’t understand the market can lose a lot of money. Investors go to lengths to purchase an ideal property for investment. They search the market, browse websites, portals and talk to all sorts of brokers and agents to get the best possible deal.

When it comes to investment in real estate people generally prefer residential properties. It’s natural to do that as everyone likes to build a home for themselves. Secondly, residential properties are cheaper than commercial properties. Thirdly, the rate of interest on home loans is lesser. Even if a person has a couple of houses, he prefers to buy another one.

Buy small apartments

There are quite a few options available in the residential sector like, apartments, studio apartments, bungalows, duplex, penthouses, farmhouses etc.


A person can invest in anyone of them depending upon his capacity. But many real estate property consultants and real estate gurus advise investors to buy small apartments, irrespective of the money they have. Small apartments are easy to manage and they are also cheaper. Buying small apartments are a much better option than buying a large property.

A small apartment is one or maximum two bedroom, hall, kitchen unit that can accommodate a small nuclear family of 4. A 1BHK or 2BHK is affordable and there are many more buyers out there for them than for bigger ones. Not to mention they are like basic necessities for if you have a family of 4 then 2 bedrooms is what you need.

Advantages of buying small apartments

As per property pundits profit or loss is made on a property at the time of its purchase. Buying a small residential property like an apartment is practical; in fact it is quite feasible. It can start generating a regular income and you don’t even need heavy investment.

Small apartments are easy to buy and do not require too much down payment. You can deposit a small amount of money and get the possession of the property. Small apartments require less maintenance cost and can be furnished in a limited budget. Even the expenditures related to them are less.

Additionally, small apartments are also easy to lease out. If you want a place on rent then you can have it on a small deposit. The rent is also comparatively less. You can also generate regular income by renting it out. Small apartments can be occupied by 4-5 people and can also be used as studio apartments. You can rent it to small families, students, bachelors etc. and start earning.


Secondly, small apartments are easy to sell. It falls under the capacity of most people and that means more number of buyers in the market. For instance, middle class people and upper middle class people can purchase them easily without getting into too much financial trouble. Small apartments can be put up on the market and sold quickly as salaried employees, small businessmen etc. can purchase it.

Get easy finance

As small apartments are reasonably priced, banks prefer to provide finance for purchase. The risk is less and it is within repayment capacity of most people. There are fewer chances of non-payment and frauds.

In small apartments, banks generally finance up to 90% of the purchase price. Since the principal amount is low, the EMIs (Equated Monthly Instalments) are also small which are easy to pay as they are well within a person’s monthly income.

Small apartments are a good source for a comfortable monthly income. You can rent them out without much difficulty and get regular income in your hands or bank account. You can earn a decent income by providing a furnished apartment that has all the amenities.

That not only earns them a regular income but also pays for the EMI, not to mention the return on investment they’ll get if they wish to sell it in the future.

Use your money wisely and earn a decent income by investing in small apartments.


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