Owning a house or renting? Find out what works best.
Owning a house in India has an emotional connect as opposed to renting one. The prestige factor also comes in at times. Even in cities where youngsters rent homes when they move in for work or studies, they tend to buy a house over a period of time.
A house is taken as a secure and highly valuable asset among Indians. Property prices have seen a steady rise over the past few years. But this hasn’t stopped people from fulfilling their dream of owning a house, though they may rent one temporarily.
Factors considered when owning a house.
Let’s look at the factors involved in owning a house
- Down payment: You need to pay an upfront amount when you select your dream house and are ready to go ahead with the purchase. The amount paid is a percentage of the total price of the house you intend to purchase. This down payment percentage will give you a proportionate ownership of the house.
- Interest on loan: If you don’t have enough savings to pay the full price of the house, you may have to take a loan. Even if you may have the required amount in your bank account, you may have other important needs such as saving for retirement, your kid’s education, family expenses, etc. Hence, in such a scenario, you would have to go in for a home loan.
Once you get the home loan, you’ll have to start paying your loan-issuer bank EMIs. This can also be equated to paying a landlord your monthly rent.
- Maintenance charges: When you buy a house, the responsibility of maintaining it also falls on you. If this house is a gated community apartment or gated community villa, you’ll have to pay monthly or quarterly maintenance costs to the residents association society. Even if there were none of these, you’d have to spend money on its maintenance.
Factors considered when renting a house.
Now, let’s look at the factors involved in renting a house.
- Monthly rent: It is the monthly amount you pay for staying at a landlord’s property. The rental amounts are high in Tier-1 and Tier-2 cities and require an advance refundable deposit amount for 2 to 12 months.
- Maintenance cost: Just like the human body or machines, houses require regular maintenance. Electricity and water bills are common expenses.
Other scenarios involved in owning a house.
In the scenario where you’re going in for a bank loan, there is a chance of being in debt for a longer period of time. Also, if you miss or delay a month’s EMI, it may hit your credit score. If your house isn’t future-ready, upgrading would require additional investment.
Owning a house at Ubuntu is the best investment.
Whether you’re owning a house or renting one, both have their pros and cons. But you could convert the cons into pros when you invest in future-ready signature houses such as Ubuntu.
We have designed Ubuntu to be an evergreen and energetic community complex where you’ll always feel dynamic. It will redefine the standards of luxury living in Hyderabad for a long time to come.
Do contact us to learn more about our ambitious and signature project from the Sukhii Group.