All parents want to give their child a secure future and are thinking of giving them the best that they will cherish forever. But the generation and their perspective on life are changing. Gone are the days when newlyweds stocked even more housewares, electronics, kitchen ware, etc. as wedding gifts. You become independent when it comes to organizing the wedding event or starting a new phase of life with new experiences.
Additionally, given the limitations of wedding parties, people have realized the importance of channeling their savings into other valuable assets. Traditionally, gold, cash, cars, etc. were considered the best gifts for newly married couples that could give them a safer start in married life. Now, however, it is worth looking into new gift options that understand their uses, gain benefits, and can ensure an increase in the value of that asset over time.
Development of the wedding gift
As a centuries-old tradition, gold is considered an essential part of Indian customs. It is also considered important from an economic point of view that it increases in value over time and is liquid that can easily be converted into cash if necessary. The other most common gift option at weddings is cash, which allows the couple to spend it according to their interests. Although cash is liquid in nature, it is an unproductive commodity because it always shows the temptation to spend it on wants and needs.
Over time, parents looked to other gift options such as cars and residential properties. However, it is important to understand that the cost of private vehicles drops once they are driven out of the showrooms. In addition, a car incurs monthly expenses for fuel, maintenance and other costs that have no tangible benefit. Likewise, residential properties that parents give away to newlyweds only make sense for personal use. Otherwise, residential rental yields are the lowest in India, offering the couple no tangible advantage.
Fractional ownership: a gift with security and benefits
As the new generation and urban millennials have become self-employed, they struggle to build the life they want where every penny counts. They understand the idea of generating passive income or investments that can bring them long-term profits. Given the changing phase of marriage, fractional ownership of commercial real estate has become one of the safest ways to future-proof than any other commodity or asset.
The partial ownership model aims to break down the cost of a prime commercial property into smaller fractions that make it easier for investors to build their portfolios. In addition, it offers an average rental return and annual capital appreciation that can provide passive income opportunities for couples beginning their married life.
Sum up
Today’s married couples can make money or buy gold, cars, or other assets. However, investing in a commercial property is not a piece of cake. Therefore, handing over partial ownership of a pre-leased Class A commercial property as a wedding gift can be ideal to make your future safe.
The author Varun Mohan is the founder of Definite. The views expressed are personal
Initial published: Nov 10, 2021 6:05 PMIST
