Investment Factors and Decision Behavior Affecting to Real Estate Investment Decision

Investment Factors and Decision Behavior Affecting to Real Estate Investment Decision

Yagnik G. Rank¹, Dr. J. R. Pitroda², Prof. A. N. Bhavsar³, Dr. Deep Vaghela⁴

¹Final Year Student M.Tech. (Civil) Construction Engineering & Management, BVM Engineering College, Vallabh Vidyanagar.

²Associate Professor P.G. Coordinator Construction Engineering & Management,

Civil Engineering Department, BVM Engineering College, Vallabh Vidyanagar

³Associate Professor, Construction Engineering & Management,

Civil Engineering Department, BVM Engineering College, Vallabh Vidyanagar, Gujarat

⁴Assistant Professor, Commerce-Accountancy Department, SPCC- SPEC, Sardar Patel University, Vallabh Vidyanagar

Abstract:

This study examines industry's significance to a nation's economic development and to the expansion of its many stakeholders cannot be overstated. Out of all the sector's stakeholders, the investor is the one who takes on the most risk. When it comes to an investor's propensity to invest in the actual market, certain elements have the biggest impact on their motivation and behaviour, while others have the least. Real estate returns vary depending on the area. This is supporting the expanding field of Real Estate research. The behavioural factor like over confidence, education, and religion was examined, and it was discovered that religious factors impact Indian investors' decisions to invest in real estate. This is advancing the field of research in the real estate industry. The goal of this investigation is to discover the tactics exploited by Indian developers to optimize monetary benefit from multiple real estate investments. A critical element to take into account when making investments in Indian property investment is the financial side. The way of decision for investment are dependent on various variable that differ from case to case, nature of the area, financial capability of investor, risk and policies, which make the behaviour of real estate dynamic through uncertainty and volatility. This makes the decision making for all the investors in real estate difficult. Various investment models present in real estate investment decision making are identified and compared in terms of variable associated, cater to level of risk, assumption, type of decision, metrics and investment types. This research will serve as a guide to investors, developers and builders. It will provide a prior knowledge to take a decision on investment in commercial properties of offices and retail.

Keywords:

Financial Study, Real Estate, Investor’s Decision, Real Estate Investment, Real Estate Investment Factor, Real Estate Sector.