The recent change in the investor population focusing in the traditional residential and commercial property in semi-urban and rural areas, Naugaon in Alwar, Rajasthan has become an upcoming destination in terms of farmhouse real estate investment. Being in a comfortable driving distance of Delhi, Gurgaon, Noida, and Faridabad, Naugaon is the location of an ideal combination of nature and close access to urban markets.
However, outside of a lifestyle and weekend break opportunities, what really matters to any potential investor is: what sort of ROI can farmhouses in Naugaon guarantee an investor? One of the things this article does is examine the short and long term ROI factors, including, agricultural income, rental earnings, and property appreciation so you can make a more informed choice.
Strategic Location: The Foundation for ROI
One of the biggest strengths of Naugaon is its location. Here’s why:
- Just 90–100 km from Delhi and Gurgaon
- Well-connected via NH-248A (Delhi-Alwar Highway)
- Close to Rewari, Bhiwadi, Sohna, and Dharuhera
- Future infrastructure like Delhi–Alwar RRTS will enhance connectivity
This strategic location makes Naugaon a good venue of weekend homes and investment grade farm land thus it can raise its potential as rental and resale investments.
Short-Term ROI: Agricultural Output & Weekend Rentals
1. Income from Farming and Organic Cultivation
Many Naugaon farmhouses come with fertile land suitable for:
- Organic farming
- Fruit orchards
- Floriculture
- Vegetable production
If you lease your farmland or manage it well, you can generate steady agricultural income within the first 1–3 years. On average:
- Annual returns from farming can range between 4–8% of the land value depending on crop and yield.
- Organic produce can fetch premium rates in NCR markets.
Also Read:
- The Growing Popularity of Farmhouses in Alwar
- Tax Benefits of Investing in Farmland Compared to Commercial Shops in India
- Why Naugaon Is Fast Becoming a Real Estate Hotspot Near Delhi-NCR
- How Far Is Naugaon from Major Cities and Why It Matters
- Naugaon vs Sohna vs Chhatarpur Comparing Farmhouse Communities
2. Rental Income from Farm Stays & Events
As eco-tourism, weekend staycations and farmhouse weekends increase in appeal, short-term rentals are turning into a highly profitable alternative:
- Daily rental rates for furnished farmhouses can range from ₹5,000 to ₹25,000, depending on amenities and land size.
- Hosting events like weddings, yoga retreats, or corporate offsites can significantly boost seasonal income.
- Annual gross ROI from rentals can range between 6–10%, especially for well-developed properties with pools, landscaping, and recreational infrastructure.
Long-Term ROI: Capital Appreciation and Infrastructure Growth
1. Land Value Appreciation
Over the past 5–7 years, land prices in Naugaon have appreciated steadily, with notable spikes after the announcement of:
- Delhi–Mumbai Industrial Corridor (DMIC)
- RRTS Delhi–Alwar route
- Increased state investments in rural roadways and power infrastructure
Typical land appreciation rates have been in the range of 10–15% annually depending on proximity to main roads and highways.
As urban sprawl from Gurgaon and Faridabad expands southwards, Naugaon is poised for long-term appreciation, especially for freehold agricultural plots that can be converted for residential or commercial use in the future.
2. Entry of Reputed Developers and Infrastructure Boost
The interest of large developers in Naugaon has begun to reshape the local real estate narrative:
- Gated farmhouse communities with plotted developments are being launched.
- Internal roads, water supply systems, and security infrastructure are improving.
This formalization of rural land boosts investor confidence and leads to more organized appreciation, as seen in markets like Sohna and Manesar earlier.
Note: ROI figures are indicative and depend on factors like location, development, upkeep, and market trends.
Key Factors That Will Influence ROI
- Proximity to highways or upcoming expressways
- Availability of water and electricity connections
- Quality of internal development (fencing, landscaping, access roads)
- Government zoning regulations and approvals
- Market demand for farm stays and weekend tourism
Expert Tip: Hybrid Use Maximizes ROI
Investors can boost returns by blending personal use with commercial purposes:
- Use the farmhouse on weekends
- Lease it out for weekday farm stays or events
- Grow seasonal crops or organic produce
- List the property on travel platforms like Airbnb, StayVista, and SaffronStays
Strong Long-Term Investment Bet
The place is a unique combination of natural beauty, favorable strategic position, the growing infrastructure, as well as affordable prices. Although short term profits may be generated through farming and rentals offering immediate cash flow, the actual potential is long-term therefore appreciation of land caused by infrastructural developments and urban overflow of Delhi NCR.
Individuals who are interested in a diversified real estate portfolio will not see investing in farmhouses in Naugaon as a lifestyle investment but a good investment with a defined ROI, with returns on multiple levels.
In case you are interested in investing in a property that offers both lifestyle and good returns, then you would not want to avoid checking out the farmhouses of Naugaon. Properly planned and managed they can yield 10-18 percent in the short term and 20-30 percent or more in the long term appreciating and hybrid income models.
