Various aspects of buying and renting the home: which is better?
The number of rental properties in India, especially in the metropolitan cities like Delhi is increasing rapidly at a high pace. Owning a home of own is a dream of many people but achieving this dream may pose many barriers due to various reasons.
As there is an increasing space crunch in such cities, and also, the increasingly high rates of the property which are hard to afford by a middle-class man, renting the home are the only option left with many inhabitants of the city.
But often, it is seen that people tend to be in a loss rather than profit by renting the property. Buying a home requires a huge amount to be paid as the down payment. Because of this reason, many people resist buying the home and prefer renting it.
However, with a variety of home loan options available, and various helpful schemes and policies initiated by the government such as the Pradhan Mantri Awas Yojna and affordable housing, buying the house have been made convenient that it was earlier.
These policies have made the dream come true for many people who wish to buy a home of their own. Make sure that you weight all the pros and cons of buying or renting the property well before making a decision.
Living on rent may seem convenient for a short run but in a longer run, it is definitely not a right decision. Let us see why!
Renting a home requires you to pay a definite sum r amount as rent to the landlord. While the amount may seem affordable per month for some people, if we look closely and calculate the sum for a long time, it turns out that the people who live on rent end up paying a larger and a huge amount over years for the home rent whereas, people who buy their own house, invest comparatively very less amount in the transaction of home.
Also, there are multiple home loan services available at low interest and extended repayment period, which makes it easier and more convenient to buy the house.
While having a home of own increases the safety, it also makes you the sole owner of the house and you don’t have to abide by certain rules and regulation set by the landlord. You are free to live the way you want.
Living on rent can also prove to be unstable sometimes as the landlords keep tenants for a specific period of time due to security issues. In that case, you need to change your home frequently and search for a new home for renting. Owning a home, on the other hand, stands in clear contrast with it.
Also, the amount of rent you pay is expected to increase each year, or maybe in every 6 months sometimes, this worsens your troubles and leaves a very less scope for savings. While if you buy a house, you pay a fixed amount as EMI every month for a fixed period of time.
These are some very important factors that you should consider if you are dwindling between living on rent and buying your own house.
As we see, it is quite above from the above-mentioned points that buying your home prove to be more beneficial in long run. You end up spending more money on rent if you live in the rented home for a long period of time.
However, impulsive decisions often prove to be fatal. Consider researching and determining your budget and various other related issues carefully before deciding to buy a home.