Should you Buy or Rent?

Compare the true cost of buying vs renting a home. Factor in EMI, property appreciation, rent increases, tax benefits, and investment returns to make a data-driven decision.

Should you Buy or Rent?

Compare the true cost of buying vs renting a home. Factor in EMI, property appreciation, rent increases, tax benefits, and investment returns to make a data-driven decision.

Should You Buy or Rent?

Adjust the inputs below to compare the true cost of buying a home versus renting and investing the difference.

Compare Buy vs Rent

Buying Details

Property ValueTotal market value of the property you're considering buying.

1 Crore

Down PaymentPercentage of property value paid upfront. Higher down payment means lower EMI.

Loan Interest RateAnnual interest rate on your home loan. Current rates range from 8-9.5%.

Loan Tenure

Property AppreciationExpected annual increase in property value. Indian real estate averages 5-8% long-term.

Stamp Duty & RegistrationOne-time government charge on property purchase. Varies by state (3-8%).

Monthly Maintenance

5 Thousand

Home Insurance

10 Thousand

Renting Details

Monthly Rent

25 Thousand

Annual Rent IncreaseExpected yearly increase in rent. Typical range is 5-10% in Indian cities.

Security Deposit

Broker Fee

Financial Assumptions

Investment Return RateExpected annual return if you invest the savings from renting. Equity mutual funds typically return 10-14% long-term.

Time Horizon

Income Tax BracketYour highest income tax slab. Used to calculate tax benefits under Section 80C and 24(b).

HRA Tax Benefit on RentHRA exemption is the minimum of: (1) Actual HRA received, (2) Rent paid minus 10% of basic salary, (3) 50% of basic salary (metro) or 40% (non-metro). The tax saving equals exemption × your tax slab rate.

Renting is BetterRenting and investing the difference creates more wealth in your case.

Net advantage₹65.79 L

Total Cost (Buying)

₹1.12 CrProperty value: ₹1.63 Cr

Total Cost (Renting)

₹38.48 LInvestment corpus: ₹1.72 Cr

Monthly EMI

₹71.98 Kvs ₹25.00 K/mo rent (Year 1)

Tax Savings (Buying)

₹10.50 LOver 10 years (80C + 24b)

Breakeven Year

NeverBuying does not surpass renting in this period

Property Value at End

₹1.63 CrLoan balance: ₹56.82 L

Cumulative Cost Comparison

Net Worth Comparison

Monthly Cash Flow

Understanding Buy vs Rent

Everything you need to know about the financial comparison of buying vs renting a home.

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Buy vs Rent CalculatorCompare the true cost of buying vs renting

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Should you Buy or Rent?

Compare the true cost of buying vs renting a home. Factor in EMI, property appreciation, rent increases, tax benefits, and investment returns to make a data-driven decision.

Should you Buy or Rent?

Compare the true cost of buying vs renting a home. Factor in EMI, property appreciation, rent increases, tax benefits, and investment returns to make a data-driven decision.