Sell flat and invest vs rental income in retirement
SynopsisET Wealth Reader's Query: I own a two-bedroom flat in Bengaluru, which is about 10 years old, and have no outstanding loan. I am a senior citizen with pension income and live with my son. Should I retain the property and earn rental income, or sell it and invest the proceeds in fixed deposits for…
Synopsis
ET Wealth Reader’s Query: I own a two-bedroom flat in Bengaluru. It is about 10 years old, and have no outstanding loan. I am a senior citizen with pension income and live with my son. Should I retain the property and earn rental income, or sell it and invest the proceeds in fixed deposits for a steady interest? Currently, my annual income is below Rs 12 lakh, so I am not liable to pay any tax.
These are a set of queries raised by ET Wealth readers. It have been answered by our panel of experts.
I own a two-bedroom flat in Bengaluru, which is about 10 years old, and have no outstanding loan. I am a senior citizen with pension income and live with my son. Should I retain the property and earn rental income, or sell it and invest the proceeds in fixed deposits for a steady interest? Currently, my annual income is below Rs 12 lakh, so I am not liable to pay any tax.
Vidya Bala Co-founder, PrimeInvestor.in: Properties can become challenging to manage with age. Maintenance issues, tenant-related worries, repairs, legal paperwork, and periodic supervision can turn what appears to be a valuable asset into an ongoing responsibility. If you are receiving a regular pension and do not depend on rental income to meet your living expenses, holding on to the property may not be the most efficient option.
Related stories
Breakout stocks to buy or sell: Sumeet Bagadia recommends five shares to…
"Derivatives data additionally points towards a cautious near-term setup, with PCR at 0.81 and India VIX at 11.3875, indicating a marginal rise in volatility.…
1968 Montana shrimp stocking led to salmon collapse and lost food for…
Attention has turned to 1968 Montana shrimp stocking led to salmon collapse and lost food for, a development that is being followed closely by…
Sweet turns bitter as 20 per cent increase in sugar prices ahead…
NEW DELHI: Sugar rates in the country are rapidly increasing due to speculation concerning its record-low stocks and the approaching festive season.
Sugar rush: India cuts stock limits as prices turn bitter
Meanwhile, the Economic Times daily newspaper is available online now.