Buying a house is not just about signing a few papers to get the ownership of a set of rooms in your name. Buying a house is an emotional decision.
When you look at the Indian setup, what you will see around you is millions of people saving or taking up home loans for their dream houses.
But the sad truth is that no matter how much you save, the chances of you being able to convert that money to buy a house are pretty slim. The only option that you actually have to have enough fiat money to then convert into a home is – investing.
And when we talk about investment, what can stand up to the benefits that come with SIPs?
In this article, we are going to list down Five SIPs that will help you buy a house by the time you reach 2025.
Here we go.
Birla Sun Life Top 100 Fund
This fund aims at providing medium and long-term capital growth, through investment in diversified equity-related security portfolio of the top 100 companies when measured on the basis of market capitalization.
In the past three years, the fund has generated 21% returns in the past 3 years, an amount which is deemed to be highly profitable for the SIP investors.
Axis Long Term Equity
The Axis SIP Plan is aimed at generating long term capital rise through a diversified portfolio of equity-related securities and equity through investing in brands with a sustainable model and strong growth.
In the past three years, Axis SIP has been able to generate 28.2% returns to the investors, making the fund type a great option for the investors looking to buy a home after a period of 5 years.
ICICI Pru Value Discovery Fund-Reg(G)
The fund objective of ICICI Pru is an investment in a well-diversified portfolio of the value stocks. The SIP fund has been giving a constant set of returns over the past five years. In fact, in the last 3 years, the fund has generated 32% returns to the long-term investors.
The ICICI Pru Value Discovery Fund, in order to get you maximum return on the investment, invests in funds such as Sun Pharma, L&T, and ICICI Bank amongst others. Franklin India High Growth Companies Fund
The SIP fund type aims at achieving a good amount of capital appreciation via investments in the Indian sectors promising high growth potential. It focuses on the companies that offer the best balance between risk, growth, and valuation. The fund has given over 29% return on investment in a matter of three years while its five-year 18.4% annual returns.
SBI Bluechip Fund
The SBI SIP Plan is aimed at investing in the stock of companies that have a market capitalization more or less equal to the least market capitalized stock of the BSE 100 Index. Talking of the year-on-year performance, SBI SIP has given a return of near about 23% in the past 3 years, while the 5 years return stood at 15.9% returns.
The SIP fund type is deemed ideal for those who are looking to start investing with the intention to buy a comfortable living space in a metropolitan city at little to no attached risk.
So, here were our selections of the five SIPs that could be the ideal long term investment for those looking into buying a house by 2025. Although these SIPs have been selected on the basis of constant performance and the low attached risks, there are a number of other SIP types that you can invest in for attaining your goal to buy a house in a matter of 5 to 7 years.
To know which funds you should invest in and with what SIP amount, get in touch with our team of mutual fund experts today.