Information for safe real estate investment.
Investing in real estate, whether it's land, buying houses or condos for rental income, or resale for profit, is a highly profitable investment option. However, it also carries significant risk, especially in volatile economic conditions and political instability. To minimize risk and maximize returns, investors need to closely monitor news and thoroughly research the surrounding environment. Key information to understand for successful real estate investment includes:
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1. Undeveloped Land Price Index
This data shows the movement of undeveloped land prices, indicating which areas have seen price increases, how much they've increased compared to the previous quarter or year, and which areas haven't seen price movements. This index reveals growth trends in locations, allowing investors to predict the best and most promising investment opportunities.
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2. Housing and Condominium Price Index
This data shows the price movements of houses and condos in various areas, which can be used to inform purchasing decisions. To invest more effectively, it's necessary to consider other data as well, such as land price indices and property appraisals, to accurately analyze whether the house or condo you're interested in has a suitable price for investment.
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3. Property Transfer Figures
Residential property transfer figures reflect the trend of "demand" or "need for housing." This is a crucial figure that tells us how much demand there is for housing, especially condos. A significant decrease in new property transfers could be a warning sign that the current economic climate is poor, people lack purchasing power, and investments should be postponed.
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4. New Housing Loan Issues
This is another figure reflecting the trend of housing market demand. A continuous decrease in new loan issuance could signal to investors that the market currently has lower purchasing power.
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5. Number of New Land Allocation and Housing Construction Permits
Land allocation permits for residential purposes and housing construction permits provide information about trends in the housing market. "The projected 'new housing units' in the future allow us to forecast supply and demand trends. Comparing this data to demand trends, we can determine whether a particular period is suitable for investment. For example, if demand is steadily decreasing but the number of new housing projects is increasing, it may reflect an oversupply situation where the market has more properties than demand, making it an unsuitable time for investment.
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6. Volume of New Housing Projects Launched
This data reveals the current volume of ready-to-sell housing projects, including houses and condominiums, in the real estate market. Considering this in conjunction with demand, it reflects the market situation – whether there's an oversupply or not, and the ease or difficulty of investment opportunities. This helps in making decisions with less risk.
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