Should you rent or buy a home? Compare total costs over time.
| Property Value at End | — |
| Total Cost of Buying (EMI + Down Payment) | — |
| Total Cost of Renting | — |
| Net Cost of Buying (after appreciation) | — |
| Better Option | — |
In major Indian cities, buying is often more expensive in the short term but may build equity over time. The price-to-rent ratio in cities like Mumbai and Delhi (40-60x annual rent) often makes renting financially smarter in the short term.
Q: What is the price-to-rent ratio?
A: Divide property price by annual rent. A ratio above 20 generally favors renting; below 15 favors buying. Most Indian metros have ratios of 25-50x.
Calculatr