An Explainer: Immovable Assets
Going by the dictionary meaning, an asset means anything that is valuable to you. All your properties — cash, savings, jewellery, stocks and land — are your assets, and the government taxes you on the basis of these. Typically, assets are classified into two different categories — movable assets and immovable assets. While movable assets of a person are those that are mobile, such as cash, jewellery, investments in stocks, etc, a person’s investment in real estate, which is immobile, is known to be his immovable asset.
In India, real estate is the most popular asset class across sections. From the common man to the super-rich of the country, real estate is a preferred investment venture for all. While a common man in India utilises all his savings to buy a home rather than investing in other asset classes, data show that about 70 per cent of the Union ministers in the present Narendra Modi-led government have also parked more than half their assets in property markets. Investing in immovable assets is considered much safer and helps you earn better returns on your investment.