By Shiv Parekh
In the dynamic landscape of investment, empowering women and bridging gender biases is not just a necessity but a strategic imperative. Among various avenues, real estate emerges as a promising arena for women investors, offering opportunities for financial growth and stability. However, traditional barriers and systemic challenges have hindered women from fully embracing real estate investments. In a survey by Tata AIA, it was reported that 59% of working women still depend on their spouses for financial planning. Also, according to the McKinsey Global Institute report, globally, women hold only 13% of real estate assets. From unequal pay to gender stereotypes, many systemic barriers prevent women from achieving financial empowerment. It is essential to explore how fractional ownership in commercial real estate can empower women investors, providing them with a pathway to overcome investment challenges and achieve financial independence.
Changing Dynamics in Real Estate Investment
Traditionally, real estate investment has been perceived as a male-dominated domain. However, Recent trends indicate a significant shift towards gender diversification in the sector. According to a survey by ANAROCK, at least 65% of women homebuyers now prefer to invest in real estate, with only 20% favoring the stock markets. Moreover, data from the same survey reveals that among the women real estate investors, a majority of Indian women prefer to invest in the affordable housing segment, priced between Rs. 45 lakhs to Rs. 90 lakhs. This projects the growing recognition among women entrepreneurs of the potential benefits offered by real estate investment, driven by factors such as better rental yield and returns compared to other asset classes.
The Rise of Women in Real Estate
The real estate industry is witnessing an increase in the number of women professionals, thanks to technological advancements, regulatory reforms like RERA, and a growing emphasis on education and skill development. Women now break stereotypes and drive innovation in various roles, including property consultants and business leads. To empower women’s role in investment, one way could be through fractional ownership investment in luxury or non-luxury assets. Various types of assets are available in the market, and with fractional ownership, investors can own a fraction of high-value assets. This approach reduces the financial barrier to entry and offers attractive returns and long-term capital appreciation.
By pooling resources with other investors, women can enhance their investment portfolios and unlock new options for wealth creation. Overcoming Investment Challenges Indeed, it’s crucial to highlight the importance of women taking control of their financial future and gaining expertise in real estate investment and other avenues. However, investment literacy is indispensable, particularly in a sector like real estate, where knowledge of market dynamics and trends is critical. Women must be motivated to initiate their investment endeavours and provided with the essential knowledge and resources to succeed.
To empower women in the investment sector and real estate, especially, educational initiatives and mentorship programs can play a pivotal role. Providing access to workshops, seminars, and online courses tailored to real estate investment can help women build confidence and proficiency in the field. Additionally, mentorship programs pairing experienced investors with aspiring women investors can offer valuable guidance and support, enabling them to navigate challenges and make informed investment decisions. Moreover, creating a supportive ecosystem that fosters networking and collaboration among women investors is crucial. By connecting with like-minded individuals and industry professionals, women can access valuable insights, opportunities, and resources to advance their investment goals. Encouraging participation in women-focused real estate investment groups and forums can facilitate knowledge sharing and collaboration, ultimately making women ‘trailblazers’ in the investment space.
Overcoming challenges in male-dominated investment requires concerted efforts to promote gender diversity and inclusivity. Advocating for equal opportunities, representation in leadership roles, and fair compensation for women in the real estate sector investment is imperative. By challenging existing norms and establishing a more inclusive environment, the industry can create pathways for women to thrive as investors and contribute meaningfully to the real estate landscape.
Towards Financial Freedom
While adopting fractional ownership investment, women are not only investing in assets but also their financial freedom, stability, and empowerment. By making informed and risk-conscious decisions, they pave the way toward a more inclusive and equitable society where every individual has the opportunity to thrive. As we celebrate the rise of women in investment, its crucial to champion diversity, build innovation, and unlock the full potential of women entrepreneurs in the dynamic world of investment. While initially intimidating, starting with baby steps, understanding market trends, seeking local expertise, and planning wisely can empower women to excel in the industry. With patience, diligence, and confidence, women investors can shape their legacy and secure a prosperous future for themselves and generations to come.
(The author is the founder of hBits, a fractional real estate platform.)
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