How much money does a builder make in India?

In this blog, we are going to tell you the profit margin in the real estate industry in India and Is it profitable to start a business in the real estate industry in India? The real estate industry is going drastically in India and the growth is not going to stop.

The revenue of the real estate industry in India in 2020 was $113 billion which grew from $100.3 billion in 2019, the lockdown and the covid didn’t affect the real industry at all. This shows how important is the real estate industry in India.


If you are planning to become a builder in India and have the needful resources then you are going to make a large amount of money because it is that profitable, some builders make over 50% profit but the average profit margin of builders in India is 15% to 30%.

If you are making a building in an expensive or posh area then the cost of making a building is high but the profit will also be high. Try to make big buildings and make a complex or society, if you are doing that your profit margin will increase.

There are many things to keep in mind if you are starting to start your construction business:


1) Set up:

The first thing you have to keep in your mind while starting a construction business is to set up hire a lawyer or someone knowledgeable to help you out with the necessary documents and permissions.

If you are educated and knowledgeable enough then you can carry out these things by yourself.

2) Make a business plan:


It is very important to make a business plan if you are not making a business plan or you have a weak business plan then surely you will lose and suffer losses.

Try to ask someone who is in this field or who are knowledgeable about it, build great relationships with them. I will suggest you break your goals and make them small steps then it will help you very much and you will reach your goals by taking the stairs of success.


3) Get insured:

I will suggest you get business insurance because then you will avoid losses if you don’t get business insurance then it will hinder your progress. Get the business insurance plan, do some research on it and then take business insurance.

You have to take insurance for your workers also that is group health insurance. If you want to know more about group health insurance, then we have made a separate blog. Click here to read it.

4) Open a bank account:

You have to open a current bank account for your business and it will be in the name of your business. Open it in the bank that gives the highest benefits.

5) Purchase equipment:


Purchase the equipment that is needed for a construction business like the tools, machinery and other things that are required. Keep them maintained and in good working condition.

6) Hire people and staff:

You need to hire staff for your business because at a certain when you will become big it will be very difficult for you to control it on your own. So hire people for different kinds of works and make sure they are knowledgeable enough.

Related Questions

Is builder business profitable in India?

Yes, if you have the resources then it is highly profitable in India, the average profit is 15% to 30% but if you are making a big house and in a good expensive area then you can easily make a profit of 50%.

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