Rent or buy your home?
Both paths spend the same money every month. Whoever pays less for housing invests the difference. We count every real cost (stamp duty, maintenance, rising rent, tax), and value the land and the building separately, because land is what appreciates.
Your EMI
Cash needed to buy
Rent passes your EMI
Home value then
Wealth if you buy
Wealth if you rent
What you pay each month
Your wealth over time
If you cashed out that year. Buy: home value after selling costs and capital-gains tax, minus the loan left, plus any investments. Rent: investments after tax, plus your deposit back.
Decided to buy? The biggest lever is how fast you close the loan. The EMI-Free Date Planner shows your exact debt-free month and which loan to prepay first.
See the planner · ₹199A banker's notes before you decide
- Land is the asset; the flat is shelter. In an apartment you own a small undivided share of land (UDS), often 20–30% of what you pay. The building ages. That's why flats usually grow slower than plots and independent houses, and why this calculator values them separately.
- Rent is cheap in Indian cities. Hyderabad rents are about 3–3.6% of the home's price a year, while a home loan costs 8–9%. That gap is why renting often wins on paper, until rent catches up or the land grows fast.
- Renting only wins if you invest the difference. The EMI is forced saving. If the money you save by renting gets spent, buying wins. Set the "share invested" honestly.
- Not everything is money. Owning gives stability: no forced moves, the same school for your children, freedom to modify. Renting gives flexibility for job changes and city moves. Use the numbers to know the price of each.
- Tax on selling. We assume you sell at the end and pay 12.5% on the gain. If you reinvest the gain in another home (Section 54) or never sell, buying does a little better than shown.
- Ready-to-move homes only. Under-construction homes mean paying rent and EMI together for years, plus 5% GST. That needs a separate calculation.