|Cost||Depends on the land size and location||Depends on service, Location, Design, and reputation of the builders|
|Risk Factor||The property is more likely to litigation and it’s quite tricky to come from it once anybody is involved.||The delay of the project by developer is the only problems. But if you go through any reputed builders to solve this problem|
|Bank Assistance||The purchaser has limited choices to leverage its financial standing for purchasing a land as banks generally doesn’t offer finance for purchasing a land/plot.||It is quite easy to take a bank loan for purchasing a flat.|
|Regular Rental Income||Property generates a very low income if Leased and sometimes It’s Hard to reoccupy the Property if the Renter pushes the property to Lawsuit||Flats are ready to generate handsome income from the first day of taking the possession if it is given on rent. There is less chances of litigation with modern laws in place.|
|Future prospect||Land is obviously in good demand. The value generally appreciates immediately because of zero depreciation on property.||The depreciation on building lowers the growth rate, hence its value increases with a declining rate.|
So, Before going to choose between land or flat you should focused on your requirement. If you want to use the property for your personal use then land will give some additional advantage as because it could give some flexibility to create anything at any time. But if the investor wishes to resell the house after a brief period then it’s more profitable to have a position in apartments. As an investor isn’t required to hold the apartment for a long term, in addition, it eliminates the depreciation element. If the investor is a senior citizen or someone who can’t devote much time to keep the property then again it’s a good idea to take the selection of a flat over property.
No doubt a property has an advantage of guaranteed benefit, but it usually requires investment in full and there’s absolutely no option of accepting leverage on the finance hence overall return is restricted up to some degree. Flats are extremely easy to purchase and an investor can take leverage on its own finance, in conclusion that the return is also quite good.
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