Every young, aspiring homeowner should read this list.
The question of whether to buy or rent is one that many young Indians struggle with. This is especially true in a city like Bangalore, which has a thriving I.T. industry and startup scene. You can set yourself up for life and continued financial freedom by investing in a home early:
1. Owning a home is a valuable investment
You can enjoy stability and security as a homeowner if you flip your rent as E.M.I. Whenever you pay an EMI, you increase your home’s equity. Boosting your net worth is beneficial. Here is a comparison between your rent and EMI.
2. No more landlord hassles
Flexibility is one benefit of renting, but uncertainty is another. If your landlord asks for a steep rent increase or asks you to leave, you never know what to expect. There are also many restrictions to consider. You can express yourself freely in your own home.
3. Taking Advantage of Tax Benefits
By repaying your home loan principal and interest, you can qualify for attractive tax breaks. The principal amount of a self-occupied home can be deducted from your taxes up to Rs. 1.5 lakh and the interest amount can be deducted up to Rs. 2 lakh.
Besides losing money on rent, renters also lose out on interest on high deposits.
4. A sense of stability and security
When you become a homeowner early, you are free from financial obligations when you are older and can upgrade as needed. Additionally, it makes you feel at home in an adopted city because it gives you a sense of belonging.
5. Choosing the right time to buy
There has been a significant drop in interest rates following the pandemic. It may change shortly, however. Invest now if you’re considering buying.
Investing in a starter home is an excellent way for urban singles and young couples to secure an asset that can provide an instant lifestyle upgrade and a source of rental income in the future. Make smart investments by doing your research.
Adarsh Park Heights 2 & 3 BHK apartment development on Varthur Road Bangalore.