You can own real estate with as little as Rs 1 lakh: Gen-Z’s new investment play

For decades, real estate was considered an investment playground only for High Net-Worth Individuals (HNIs) and Ultra High Net-Worth Individuals (UHNIs). Buying a property often meant locking away tens of lakhs—if not crores—making it inaccessible for young professionals just starting out.

But that story is changing fast. Gen-Z investors—born between 1997 and 2012—are rewriting the rules of wealth building, and fractional ownership real estate is at the heart of this shift.

Fractional Ownership: Real Estate at Just ₹1 Lakh

Traditionally, buying property was a far-off dream for someone in their early 20s. Today, with fractional investing, platforms like Claravest make it possible to get started with as little as ₹1 lakh.

“With the rise of fractional ownership in real estate, even a 21-year-old earning their first salary can now start investing in property with just ₹1 lakh,” says Mananki Parulekar, Co-Founder of Claravest Technologies Pvt. Ltd.

This affordability is making fractional real estate investing as approachable as mutual funds or equities for India’s digital-first generation.

Why Gen-Z Loves Fractional Real Estate

Gen-Z has grown up in a world of diversification, side hustles, and financial awareness. They’re digital natives who understand the importance of making money work for them. Many are already comfortable with the concept of fractionalization—thanks to cryptocurrencies like Bitcoin or Ethereum.

Just as you can own 0.01 ETH, fractional property investment lets you own a share of a property, earn rental income, and benefit from appreciation.

And the appeal isn’t just financial. Many young investors have seen how second home and vacation property purchases created generational wealth for their families. That “uncle or aunt” who bought in an upcoming locality and made a fortune is a familiar story. Fractional real estate ownership gives Gen-Z their own chance to participate in those wealth-building journeys—without needing ₹50 lakh upfront.

Expected Returns from Fractional Real Estate in India

Returns in fractional ownership real estate India vary by asset type:

• Commercial properties → 6–8% rental yields + 7–8% appreciation

• Residential assets → 3–4% rental yields + 10–12% appreciation

• Vacation homes & second homes → 7–9% rental yields + 8–9% appreciation

This mix allows investors to choose assets that match their goals—whether they want steady rental income, high capital appreciation, or both.

Why Research Still Matters

While the opportunities are exciting, research remains crucial. Parulekar emphasizes:

“Three words: research, research, research. Look at the platform’s credibility, the growth potential of the asset’s location, and the type of property you’re investing in—be it commercial, residential, or a luxury villa”

Claravest’s Edge for Gen-Z and NRI Investors

Claravest specializes in high-growth Tier-2 cities and vacation homes, including luxury villas, where both rental income and appreciation potential are strong. For Gen-Z, this means affordable entry points and a clear path toward wealth creation.

At Claravest, the focus isn’t on flipping properties overnight but on building balanced, inflation-hedged portfolios. Real estate becomes part of a diversified basket—alongside equities, mutual funds, and gold—offering stability and growth.

This also opens the door for Non-Resident Indians. A common question we hear is: “Can NRIs buy property in India?” The answer is yes. Through fractional real estate investing, NRIs can participate in Indian real estate without the heavy burden of managing an entire property on their own.

Final Word

Gen-Z is proving that you don’t need to wait until your 40s or 50s to invest in real estate. With fractional ownership, you can start today—with your first salary, your first side hustle, or your first savings goal.

Real estate is no longer just for the privileged few. With Claravest, it’s for everyone—whether you’re buying your first second home, looking at fractional property investment, or exploring fractional ownership real estate in India as an NRI.