Confused whether you should buy or rent? There are more aspects to buying and renting other than money and investment tactics. So here comes the answer to the unending quest: Should you buy or rent? #BuyVsRent
Buying a property always includes miscellaneous charges which are equivalent to almost 5% of the property cost. If you do not have any spare cash for spending on such formalities, refrain from buying or look for deals where such charges are borne by the builder.
Property taxes and mortgage-interest costs are significant but also deductible. The higher your marginal tax rate is, the bigger the deduction.
There is no point in buying a property if you have not planned to stay in any city for long. Instead, choose a city where you always like to stay back after retirement or invest in other options that can offer you assured returns.
Buying a home is a wise idea if you are left with disposable income good enough to afford down payment+EMI.
Ideally, a person should not spend more than 40% of his income on house rent or EMI. If you are already spending a big amount for leasing, your pocket won’t be able to sustain the burden of EMIs
#Buy if property price appreciation in the locality is beating the yearly inflation so that you can gain good amount if you ever decided to exit the investment.
Renting a home can be a wise idea if there are very limited options of the property type (flat, independent house or plot) you want to buy as they will not suit your requirements as well as your budget.
Buying a home can be a wise idea if your city offers property options at an affordable price which means comparable to your annual income.