With the fall of gold prices, the investors are rushing to grab this glittering yellow metal. The investors feel it wiser to invest in gold than real estate market.
Is Real estate losing its charm? Whether it loses its charm or not, the investors are not fond of investing in the construction sector now. One of the main reasons for this is the fall of gold prices.
In all cities the jewelry shops are crowded. Most of the people consider it as the best time to gain at least a small piece of this yellow metal that glitters.
Though the real estate sector is not affected much, the real estate investment by the small scale investors has fallen. Small scale investors are now rushing to jewelry showrooms.
Those who are investing in the pre-launch properties, with the expectation of an easy exit when the project is ready to move in, are also shifting their investment to gold.
Real estate has been considered as one of the better options for investment. It has been one of the top investment options as well. As real estate investment assures better returns, the investors were flocking to it. However the situation has undergone vast changes, all with the fall of gold prices.
The decline of gold prices is seen as a temporary phenomenon. The experts predict that the prices for gold will bounce back within a short period of time. Thus, it may provide a better return to the investors who are planning of short term investment.
Commenting on the shift of investment, a realty investor said that he has bought gold worth Rs.4 Cr. He added that he has bought it with the purpose of selling them off when the prices shoot up again.
Approving his decision to invest in gold, now the prices of gold is picking up. Over the week, the prices have improved by Rs.2000 per ten gram. Whatsoever, real estate investment may not be shaken as there is no chance of a price correction in the realty sector.