Detailed Analysis
The buy vs rent decision is one of the biggest financial choices you'll make. It depends on property prices, rental yields, your time horizon, and personal preferences.
Buying builds equity through forced savings (EMI payments). Property appreciation in Indian metros has averaged 6-10% historically. Tax benefits reduce effective cost. However, the total cost of ownership (EMI + registration + maintenance + opportunity cost of down payment) is often underestimated.
Renting keeps you liquid and flexible. The difference between EMI and rent can be invested in equity (potentially 12-15% returns). In many cities, the price-to-rent ratio favors renting. But rents increase over time, and you build no housing asset.