Quote:
Originally Posted by mahesh pune
If you are considering loan case then do not mix it up with inflation. If house is taken on loan of 10% and it is appriciating at 10% then it is break even. Even bit profit as one is saving on rent. So break even will be at around 8 to 9 % appriciation per year.
|
Below is my experience:
* Ratio of monthly home-loan interest v/s rent. It's 10% v/s 4%. Owning #3 times expensive than renting.
* Buying RE on loan in current-market, one has to compromise on monthly-expenses & area of living.
* One can easily rent at developed locations like Aundh/Wanwori as compared to buying at Wakad/Undri.
* One can change rented-place on need but not owned-place.
Two examples:
*A colleague in my office at Magarpatta comes from Pimple-Saudagar (daily 2 hours of travelling) as she owns house there.
*A relative has bought house at Vishrantwadi with loan from ICICI at #11%. He left pune coz got better job in Ahmedabad.
Now he is earning 3% as rent in Pune and paying both EMI and rent
