India, March 28 -- By the time March arrives, most Indian investors know the routine: review tax-saving options, reassess deductions, and evaluate property largely through one question: Does it still help reduce taxable income?

Real estate has long been part of that framework. Traditionally, principal repayment qualified under the Rs.1.5 lakh Section 80C limit, while interest on a self-occupied home loan was deductible up to Rs.2 lakh under the old regime. While these provisions still exist, they no longer drive decision-making the way they once did.

In their place, a more nuanced approach is emerging. Investors are increasingly evaluating real estate on a post-tax basis, factoring in holding costs, yields and liquidity. As a result, pr...