How to start a real estate company in India?


Today, the Indian real estate market is one of the most promising sectors for starting a business. It is expected to grow from USD 120 billion in 2017 to USD 1 trillion by 2030.

It’s amazing to see that the real estate business in India wasn’t always this rosy; in fact, this sector experienced its fair share of insecurity before becoming one of the most developed businesses in the country. The industry is now in better care and zone due to increased transparency and enforcement of improvements such as RERA, REITs, and Title Insurances. So, if you want to enter this market and carve out a niche for yourself, this is a good place to start.

These are the steps to follow to help you confidently start your own real estate company.

1.) Real Estate Company RERA Registration

The provisions of RERA will primarily require two types of registration for Real Estate Companies.

Registration of Real Estate Projects

Registration of Agents

Registration of a Project

Every Real Estate project developed or to be developed by a Real Estate Company will require registration under the provisions of the RERA Act. RERA registration will be in accordance with the laws of various states on Real Estate Projects.

2.) Create a fantastic team.

This step is critical because as a real estate business owner, you will not be able to do everything. Actually, it’s unnecessary as well. You can manage everything from the top, but you should have members help you. Don’t be extravagant in your hiring, but make sure you hire the best. Build a team of professionals who do justice to the role you have chosen for them, whether they are salespeople, business managers, or brand marketers. You can keep a mix of experienced and inexperienced team members, but remember to train the latter while onboarding them to ensure that everyone is on the same page.

Minimum prerequisites for forming a real estate corporation include having at least two directors.

There must be at least two shareholders, and both the director and the stockholders can be the same individual.

There is no minimum capital requirement for company registration.

There should be no other company, limited liability partnership, or trademark in the class of real estate registered in the name of the proposed company.

The number of shares held will determine the company’s ownership. The company must have a registered office address in India.

3.) Company Registration

The majority of real estate agents are unregistered firms, such as sole proprietorships or unregistered partnerships. However, in order to compete with huge online real estate brokerage platforms, the real estate brokerage industry is being reformed, formalized, and elevated to worldwide standards. As a result, it is critical for anyone launching a real estate brokerage firm to incorporate as a Private Limited Company or Limited Liability Partnership (LLP) to boost consumer confidence and professionalism.

4.) Visit the internet.

Your internet image is just as vital as your offline presence. Gone are the days when customers relied on the owner of the local grocery store to help them find a home. Customers nowadays conduct extensive research on several websites prior to visiting one. This helps them save time and effort and also helps them to gauge the different properties from several perspectives. As a result, create a lovely, comprehensive, and easy-to-navigate website and effectively deliver your messages. You can also advertise discounts and special offers on the website! (No one dislikes a bargain.)

5.) Every Detail Should Be Considered

The more carefully you organize your strategies, the more likely you are to succeed in the real estate sector. This is one of the most important factors to consider when learning how to enter into the real estate business or how to operate a real estate business in India. It is critical to plan for business cash, budgets, structures, and other factors in order to succeed in the real estate market.

FAQS

In India, how much does it cost to start a real estate company?

Fees differ from one state to the next. The fee for a property dealer license is usually Rs. 25, 000 for an individual and Rs. 50,000 for a company or society.

How can I go into real estate in India without any money?

If you own a property and are wanting to start a zero-investment business owing to a lack of cash, you can use your existing property. Under the equity of your current property, you can borrow money from a money lender or a bank. You can use this money to purchase a new property that is expected to sell quickly.

Is it beneficial to invest in real estate in India?

It is a rapidly expanding industry.

The Indian real estate market is rapidly expanding. By 2025, the real estate market is predicted to rise from 12,000 crores in 2019 to 65,000 crores in 2040, contributing over 13% of the country’s GDP.

Conclusion

In India, starting a real estate firm can be a stressful and time-consuming procedure. It might also be difficult to transition your firm from paper to reality. In the case of business registration or GST registration, you may require the assistance of a good CA or legal counsel, so it is highly advised that you obtain expert assistance.


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