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10 compelling reasons for buying an apartment, and not live in a rented property in India

10 compelling reasons for not living in a rented property, But Owning An Apartment In India!


Owning an apartment, a builder’s floor, or an independent villa is a thrill and joy beyond compare!

However, some of us struggle with the basic question: “should I really buy a home? Is it really worth it?”

It is important to be clear about why you are buying a home!

The reasons are many, but you need to find yours, and feel convinced about it! Unless that happens, you won’t be at peace with yourself.

rented property versus your own apartment

Living in a rented property(accommodation) versus your own apartment is a call only you can take. There is no point rushing into it unless you find reasons that truly feel compelling!

1) Forced savings resulting in property and asset creation in case of mortgage

  • This is the best part about buying an apartment. You end-up saving big time!
  • You get a fixed amount out of your income dedicatedly allocated to paying for the EMI, if you have a home loan
  • This way, unnecessary expenses are curbed, and you become prudent by choice
owning-an-apartment-vs-rented-property

2) Capital appreciation of your property as you pay for home-loan

  • In India, the cost of construction continues to go-up every year. This means that the same property after 5 years will cost much more to acquire
  • The capital value of an apartment could continue to rise anything between 3% to 8% every year due to cost of construction going up year-on-year
  • Plus, the location across India, in all the cities also gets dearer with time
  • This means that in 10 year timeframe, the property you buy would have appreciated substantially off-setting your EMI pay-outs (if you have a home loan)

3) Rent saved diverted into acquiring a self-occupied property

https://akm-img-a-in.tosshub.com/sites/btmt/images/stories/Newstaffpics/home-loan-graphics_170521014310.jpg

[Source- https://www.paisabazaar.com/ ]

  • Instead of paying Rs 20000 to 40000 per month on rent, you end up paying for loan repayments
  • Home loans (in year 2022) are hovering around the 8% mark (pretty low) for most banks, which makes buying an apartment all the more attractive
  • Plus, rent paid can be utilized in your self-occupied home
  • It is a joy not having to pay rent!
  • Paying a home loan EMI does NOT hurt as much as paying rent

4) Lower income tax advantages on interest paid on home loan

  • The biggest tax advantage of owning a home is that you get a rebate by way of deducted paid monthly interest from your income tax returns
  • During the first several years of you home loan, monthly EMI repayments comprise of a lot of interest
  • This way your income gets a nice deduction, and you end up paying much lower income tax!
Lower-income tax advantages on interest paid on home loan

5) Your home, your rules: freedom to make design changes

  • You have all the right and ability to make changes with ownership of your own home
  • With a rented property(home), you cannot even change the paint colour of the walls, leave alone thinking of doing-up the interiors
  • Freedom to make changes, kitchen remodelling and much more is possible as you please with your own home!

[Source – Image by Rudy and Peter Skitterians from Pixabay]

6) Improves & builds your credit scores with timely loan repayments

  • By making timely payments, even your credit bureau (CIBIL) scores improve
  • This helps you build credibility, and banks are more willing to offer you many other personal loans, and even additional loans as time progresses
  • You become a preferred customer with a record of good repayment history to your advantage

[Source – Image by Clker-Free-Vector-Images from Pixabay]

7) A home is a solid Investment that protects you physically and financially

  • Owning a home is a solid investment with fantastic benefits like ability to take loan against property once the mortgage is fully paid off
  • You can use your home as an asset to do much more like using it to generate finds for many uses like children’s foreign education, investments etc.
  • Return on investment with a property is more than buying things like a car which depreciates. A property usually always appreciates!
  • During rainy days, it is good to have your own home, and live protected under your own roof
  • Home values tend to increase, and you can actually check the trends of the values over the past several years in the area you are planning on buying your apartment

8) Pride of ownership and community connect with neighbouring home-owners

buying-an-apartment-vs-rented-property

[Source-Photo by Askar Abayev from Pexels]

  • Sense of pride of having your own apartment makes you feel great with family and friends
  • You get to foster a sense of community involvement that comes with owning a home
  • It is nice to have permanent neighbours, who eventually turn into friends for a life
  • Community connect and the relationships you foster that come with being a home owner are priceless!

9) Freedom to choose your dream location

  • You get an opportunity to pick the locality where you want to live
  • Location of the home is close to heart, and unlike a rented property(apartment), you don’t have to compromise here
  • You can pick your home based on proximity to work place, social infrastructure and other priorities that matter to your family like children’s school etc.
Location - buying-an-apartment-vs-rented-property

[Source- Image by Megan Rexazin from Pixabay]

10) Better stability for children as well as elders

[Source-Photo by Emma Bauso from Pexels]

  • You don’t have to leave your home like a rented apartment
  • You can be asked to vacate a rented property with a one or two month notice period. This can throw life out of gear for you and your family
  • Owning your own home improves stability. Children do not have to suffer, especially during their study-years. The develop a good foundation at school, get to make friends, and stay with them for a longer time
  • Buying a home is a long-term commitment, and if it is self-occupied, then your stability is guaranteed along with emotional well-being of your family
  • While purchasing a home, you need to be reasonably confident about how the place is going to pan out for your family in a timeframe that sees them through schooling and college
  • Even post-retirement considerations can be a criteria to figure out whether you want to be in a low-density locality or one that’s more densely populated

Owning a home comes is awesome, and it is important to be fully aware the benefits that work best for you!

Owning a home indeed is much more than simply having a place to live-in!

“To buy a nice home is to buy a better way of life. To choose a better way of life is to work toward well-being, and isn’t well-being what’s paramount?”


To know more about “19 Reasons To Buy An Apartment”.Click here!

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