Rent vs Buy Calculator – Should You Rent or Buy a Home in India?
Make an informed decision based on your financial situation.
Should You Rent or Buy a Home?
Rent vs buy analysis compares the long-term cost of renting versus owning a home after considering EMIs, down payment, rent growth, and investment opportunity cost.
This calculator focuses on financial outcomes, not emotional decisions.
Lower income, high growth, flexibility matters.
Stable income, family needs, long-term settlement.
Higher savings, shorter loan, risk-aware.
Enter your details and click Analyze to see the results.
Choosing between renting and buying a home is one of the biggest financial decisions you'll make. It's not just about EMI vs. rent; it involves considering down payments, maintenance costs, taxes, property appreciation, and what you could earn by investing your money elsewhere.
This tool compares the two scenarios from a net worth perspective over your loan tenure:
- Buying Scenario: It calculates your home equity (property value minus outstanding loan) over time.
- Renting Scenario: It assumes you invest your down payment and the monthly difference between your EMI and rent. It then projects the growth of this investment.
- The Verdict: The better option is the one that results in a higher net worth at the end of the period.
Opportunity cost is the key to this analysis. When you buy a house, the large down payment is money that is no longer invested in the market. This calculator shows you the potential growth you're giving up (the opportunity cost) and compares it against the potential gain from property appreciation.
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