Investing in Agriculture Land Near Mumbai

A number of urban investors are investing in agricultural land. As an agricultural land plot can guarantee a good return in the long term. Investing in farmland in India has many benefits, you can use it for the purpose of farming or it can serve your dream of a weekend getaway. Buyer of the farmland has the opportunity of farming by himself or give this farm on lease to someone.

India is the second most populated country in the world and with a smaller land area as compared to China or the U.S. In such a condition agriculture land has become extremely valuable and difficult to acquire in places near to metropolitan cities like Mumbai, Delhi. From middle class to high net worth investors all are looking to invest in land and considering it a most reliable asset class. Apart from this, the profit made from selling the farm is tax-free.

Let’s look at the advantages of owning farmland:

Agriculture land can create good wealth in long term.
It is a low-risk investment
The income that you will earn through this agricultural land will be free from tax.
Today there is a gap between demand and supply across the country, which leads to the increase in agriculture commodities prices.
It is a great investment to keep pace with inflation.
Now let’s understand how investing in farmland can generate returns:

1) Investors of agriculture land can make money from the cash flow from the crops that are harvested.

2) Land Appreciation: We know the land is a limited resource and the agriculture land has decreased due to the land development and urban sprawl which makes the agricultural land more valuable. Thus this situation makes agriculture land to increase in value which is eventually beneficial for the investors.

3) There are other ways to generate income on farmland if your farmland is next to the highway you can generate income through billboards placed on the land or through radio towers that are built on the land.

Investing in the land may not provide you with immediate returns but over a longer-term, the returns can be quite decent. Also, there is much less volatility in this asset class as compared to others.

Pali Hill Estates is one such organisation which helps city buyer of Mumbai to switch to the countryside. As realty prices in Mumbai and other cities are rising, people are shifting their farmland investment towards the edge of metropolitan areas.

To take an escape from hectic city life, people want a place where they can relax and enjoy. As Lonavala and Khandala are getting crowded and overpriced, Khopoli is an emerging destination near Mumbai with mountain and valley views. Agricultural land in Khopoli-Pali road offers a great scope of investment opportunities. It is well connected to Mumbai and Pune and is just a 1-hour drive from Mumbai.

Some buyers want to invest so they can do their own organic farming on weekends and some want to build their dream second home for holidays.

Investors must choose their farmland based on few parameters like location, water facility, land fertility, soil quality and budget.