Compare the true long-run cost of buying a home against renting one and investing the money you did not put into a down payment and EMI.
The buy side accumulates the down payment, EMI outgo, and ownership costs against the property's appreciated value. The rent side grows rent at the inflation rate you set while investing the difference at your expected return. Comparing the net position at the end captures the opportunity cost that a simple EMI-versus-rent comparison misses.
Not necessarily. It depends heavily on the rental yield in your city, property appreciation, your loan rate, and how long you stay. In cities where annual rent is 2–3% of property value, renting and investing the difference can outperform buying — especially if you might move within a few years.
Stamp duty and registration, typically 5–8% of value; brokerage; interiors; annual maintenance and society charges; property tax; and the transaction cost and illiquidity of selling. These materially change the comparison and are easy to leave out.
The upfront costs of buying take years of appreciation to recover. As a rough guide, a stay shorter than five to seven years often favours renting, though the exact break-even depends on your local numbers.
This calculator is for information only and is not investment, tax, or financial advice. Figures are estimates based on the assumptions you enter and are not a guarantee of future returns. Consult a SEBI-registered adviser or a qualified tax professional before acting.