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In select micro-markets (Bengaluru IT corridors, Pune, Hyderabad outskirts) with good rental demand, real estate can deliver 10–12% total returns. However, for most Indian cities, real estate returns net of all costs average 6–9% — comparable to FDs but with far lower liquidity.

Mumbai: 2–3%, Delhi NCR: 2.5–3.5%, Bengaluru: 3–4%, Pune: 3–4%, Hyderabad: 3.5–4.5%, Chennai: 3–4%. Compare this to commercial properties (5–8%) or REITs (5–7%) for better rental income yield.

Buy property if: you need a home to live in, you have a down payment ready, and the EMI is under 30% of income. Invest in mutual funds if: you're buying purely as investment, you don't need the liquidity lock-in, and you can achieve your financial goals without real estate.

LTCG (held >2 years): 12.5% on gain without indexation (Budget 2024 change). STCG (held <2 years): Added to income, taxed at slab rate. TDS by buyer: 1% of sale value above ₹50L. Rental income: Added to income, taxed at slab rate (30% deduction allowed for maintenance).

It carries higher risk: project delays (common in India), builder default, and 3–5 years of no rental income. However, under-construction prices are 15–20% lower than ready-to-move — creating appreciation potential. Only buy from RERA-registered projects with strong track record builders.

Real estate generates rental income; gold does not. Real estate is geographically immobile and illiquid; gold is liquid. Gold has lower transaction costs (no stamp duty). For pure investment, REITs are a better alternative to physical real estate, offering regular income with much better liquidity.