India's Real Estate: The Last Untaxed Dynasty
In Delhi NCR, official circle rates are significantly lower than real market prices, enabling capital gains avoidance and discreet wealth movement. Real estate advisor Aishwarya Shri Kapoor highlights why land remains the go-to asset for India’s ultra-wealthy.
Real EstateBlack MoneyCapital GainsWealth ManagementSmart CitiesReal EstateMay 18, 2025
Despite reforms and anti-black money laws, real estate advisor Aishwarya Shri Kapoor argues that land remains the safest and most strategic vehicle for long-term, low-visibility wealth. In a LinkedIn post, she writes, “Land is legacy.” In India, it is the one asset where “power compounds, privacy is protected, profits are layered, and perception is everything.”
Kapoor outlines why the ultra-wealthy avoid other asset classes. “Crypto is taxed. Stocks are tracked. Startups are risky. Gold is old-school. But land?” she asks. “Land is benami-friendly, registry-manipulated, legacy-diluted, and politically recycled.” The strategy is precise. Families buy land early, hold it for 8–10 years, lease or redevelop it for 2–4 times the returns, and hand it off to heirs with sanitized records. No earnings reports. No headlines. Just compounding control.
Even global players are moving in. UAE-based NRIs are snapping up land in South Delhi’s elite zones like Panchsheel and Golf Course. American high-net-worth individuals are backing branded residences linked to hospitality giants like Marriott and Ritz. Singapore family offices are entering Gurgaon through joint ventures.
Meanwhile, state governments repackage the same sector once synonymous with black money as the centerpiece of “smart city” dreams. Kapoor notes the contradiction: “The same real estate sector that’s blamed for black money is now marketed as ‘smart city capital.’ Same game. New packaging.”
This comes despite several legal crackdowns. From Section 50C and 56(2)(x) to the Benami Transactions Act and PMLA, India’s framework is designed to enforce transparency and traceability. Cash transactions are capped, and high-value deals must quote PAN. Still, Kapoor’s thread suggests implementation hasn’t kept pace with the creativity of dynastic strategy.
Frequently Asked Questions
What are official circle rates in Delhi NCR?
Official circle rates in Delhi NCR hover around ₹1.5 lakh per square yard, while real market prices often exceed ₹5 lakh.
Why do the ultra-wealthy prefer land over other assets?
Land is benami-friendly, registry-manipulated, legacy-diluted, and politically recycled. It offers privacy, compounding control, and low-visibility wealth.
What are some global investments in Indian real estate?
UAE-based NRIs are buying land in elite zones like Panchsheel and Golf Course in South Delhi. American high-net-worth individuals are investing in branded residences linked to hospitality giants like Marriott and Ritz. Singapore family offices are entering Gurgaon through joint ventures.
How are state governments promoting real estate?
State governments are rebranding the real estate sector as the centerpiece of ‘smart city’ dreams, despite its past association with black money.
What legal measures are in place to combat black money in real estate?
Several legal measures, including Section 50C, 56(2)(x), the Benami Transactions Act, and PMLA, are designed to enforce transparency and traceability in real estate transactions. Cash transactions are capped, and high-value deals must quote PAN.
Related News Articles
Small Cities, Big Opportunities: How Tier-2 and Tier-3 Cities are Revolutionizing the Real Estate Market
Mid-tier cities like Faridabad, Lucknow, Vrindavan, Ludhiana, Chandigarh, Indore, Dehradun, and Jaipur are becoming hotspots in the real estate market, offering a low-cost, peaceful life and high returns on investment.
PM Modi to Launch Multiple Development Projects in Maharashtra Worth Over Rs 56,000 Crore
Prime Minister Narendra Modi will visit Maharashtra on Saturday to launch several development initiatives costing over Rs 56,000 crore, including the BKC-Aarey JVLR section of Mumbai Metro Line - 3 and various agricultural and animal husbandry projects.
Cornell University: Klarman Fellow Reveals Insights on Housing Costs
A Klarman Fellow at Cornell University has conducted a groundbreaking analysis of housing costs, providing new insights into the factors affecting real estate development and the built environment. This research has significant implications for urban plan
Mumbai Real Estate Projects Halted by New Environmental Clearance Order
The real estate sector in Mumbai is experiencing significant disruptions due to a recent directive from the National Green Tribunal (NGT). This order has led to the suspension of nearly 200 projects in the Mumbai Metropolitan Region (MMR), causing delays
Bhubaneswar: SJTA to Launch Online Platform for Land Settlements
Currently, individuals occupying temple lands submit manual applications to SJTA for property sale or transfer. This process is set to become more efficient with the launch of an online platform.
Mumbai Property Registrations Show Strong Growth in February 2025
Mumbai witnessed a significant rise in property registrations in February 2025, with 12,056 units registered, according to real estate consultant Knight Frank India. This growth indicates a robust market recovery and increased investor confidence in the c