How Riya Turned a ₹1.2 Cr Flat Into ₹50 Lakh Profit: A Smart Long-Term Investment Saving
Not Just Mutual Funds: Real Estate Can Beat 12% Returns on long term saving
While many Indian investors stick to mutual funds for 10–12% yearly growth, some wealthy individuals are taking a smarter path. According to Sujith SS, founder of Moneydhan, early-stage real estate investment can deliver 18–22% internal rate of return (IRR) on long term saving.
Learn how smart real estate plays can beat mutual funds. Discover a long term saving plan that earned ₹50 lakh profit from a ₹1.2 crore flat in 3 years.
Riya’s Smart Move: Buy Early, Pay Smart
Sujith shared a real story about Riya, a smart investor. In Year 0, she bought two under-construction flats in Gurgaon, each costing ₹1.2 crore—about 20% less than ready-to-move flats nearby.
Follow Vijay Broadcast on WhatsApp
Follow Vijay Broadcast on Instagram
- She paid only 10% to book
- Paid more in steps during construction
- No loan EMI in the beginning
This smart payment plan gave her time and flexibility.
READ MORE: 20 Factors to Consider Before Investing in Mutual Funds
Year 3: Price Boom and Big Profit on long term saving
By Year 2, interest from NRIs and brokers pushed the price to ₹1.4 crore. By Year 3, her flats were worth ₹1.75 crore. She sold one and earned ₹50 lakh profit.
- Sold 1 flat: Locked profit
- Rented the 2nd flat: 6% rental yield
- Used rent to refinance the loan
She then took the ₹50 lakh profit and invested it in a pre-leased commercial property on NH8 with 8% annual returns.
This Is Not Luck—It’s a Wealth Strategy on long term saving
Sujith says this is not just luck. It’s a planned wealth-building method used by many of India’s emerging rich. The strategy is:
- Buy early-stage property at low price
- Wait until value goes up (possession or near-possession stage)
- Sell or rent one unit
- Reinvest profit in higher-yield commercial properties
- Repeat every 7–10 years
Also Read: You Won’t Believe What Rs 13 Lakh MF Investment Can Turn Into in 20 Years
Risks Are Real—But Can Be Managed
Sujith also warned of real estate risks:
- Delays in construction
- No price rise or bad market timing
- Legal problems with builder
- Low-quality rentals or poor tenants
- Hidden costs like stamp duty, taxes, EMIs, or vacancies
But with proper planning and research, these risks can be reduced. Sujith believes this is how India’s new-age investors are playing the long-term game.
Disclaimer: This is not financial or investment advice. Please conduct your own due diligence or seek expert guidance for financial planning.
READ MORE: How to Build a Rs 1 Crore Corpus: The 15/15/15 Rule of Mutual Fund Investing
READ MORE: SIP Return Calculator – How to Calculate Your SIP Returns with Step-Up SIP & Types
Follow Vijay Broadcast on WhatsApp
Follow Vijay Broadcast on Instagram