I know this is a very generic question, but would like to know how forum members approach this decision:

You like an apartment, and the only way you can afford it is when possession is 3 years down the road. That way the burden on you falls gradually. You need to pay around 4L only at the time of possession, which you can accumulate in 3 years. But on the other hand, you pay rent, you take the loss on tax savings, and you pay the interest on loan too.

How would you approach this calculation of life? How to arrive at the bigger picture?

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  • Such calculations are discussed many times on many different threads. btw i did not understand what you mean by take the loss on tax savings.


    Originally Posted by anandsaha
    I know this is a very generic question, but would like to know how forum members approach this decision:

    You like an apartment, and the only way you can afford it is when possession is 3 years down the road. That way the burden on you falls gradually. You need to pay around 4L only at the time of possession, which you can accumulate in 3 years. But on the other hand, you pay rent, you take the loss on tax savings, and you pay the interest on loan too.

    How would you approach this calculation of life? How to arrive at the bigger picture?

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  • Originally Posted by tushart
    Such calculations are discussed many times on many different threads. btw i did not understand what you mean by take the loss on tax savings.


    By loss on tax savings, I meant that the tax benefit one gets due to home loan cannot be availed till you get possession.

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