EMI or Rent! Which is more beneficial?

A question, which has been confusing buyers is whether to purchase a home on monthly installments or to pay a monthly rent to the landlord. Both the options have their own set of merits and demerits. But having a preference for one option is thus based on factors and consequences.

In this article, we will compare both the options based on different variables and try to come up with a conclusion which can assist people to make wiser decisions and can choose between the options to whether to buy a home on EMI or rent it.

Paying monthly, but for different causes

When you purchase your dream home via a Home Loan with Equated Monthly Instalments, You’re bound to pay a fixed amount of money per month to the bank or the financial authority who granted the loan. With each installment or EMI, the principal amount or the Loan amount of your home gets reduced. So, slowly and by paying EMI’s on time, one gets closer to realize the dream of owning a home while at the same time, living inside it.

While, when you rent a house, you are still liable to pay a monthly fixed amount to live in it. Unlike EMI’s, in which you slowly pay for your house, in renting, you pay monthly to just live in the house owned by someone else. Even after paying an equivalent amount of money, one cannot call that the home belongs to him or her.

Same monthly expense, two different situations

In today’s world, whether you rent a house or take a home loan, the amount you have to spend per month is more or less the same. When you spend on rent, you are just spending money to have permission to live in it, while when you pay EMI for a home; you’re still living inside it with complete rights and slowly converting a bank owned property to self-own.

The rent rates in today’s world are not much budget friendly considering a good location and infrastructure. Whereas, with ease in availing home loans and loan tenure available for a longer duration, EMI’s are no longer unaffordable for families.  Therefore, in today’s era, EMI’s more or less, cost the same as rent, depending on factors.

A sense of security and pride

With landlords becoming more cautious and placing several restrictions like limiting the number of years one can live or no development options, it is becoming very restrictive and bound for people living on rent. Even though, in many cases, landlords increase the amount of rent annually or based on their preference. Thus having a proper rent agreement is always considered as a beneficial option in renting.

Whereas, with the support of various schemes, affordable homes, reduced interest rate and preferences for first time home buyers, it’s now easy to purchase a home and on lower EMI’s.

While there are many restrictions with living in a home on rent, a family or household living inside their own home on EMI will be enjoying more satisfaction and sense of security than living on rent.

Better value in the long run

If we compare the value of renting and EMI in the long run, there are several benefits of paying EMI versus paying rent. While in the starting, EMI’s or rent both feel heavy on a family’s pockets. As time fades, the salaries and incomes also increases, but with an increase in income, the EMI’s still remains the same and after a time, doesn’t feel heavy on the pockets.

But in case of rent, it increases with time, not much high, but still considering the rise in income level, rent does increases over time.

Goyal Flower City – Assisting people to realize their dreams

With an aim to assists people into realizing their dream to own a luxurious home, Goyal Housing, also known as GOHO, is bringing Goyal Flower City in City Centre, Gwalior. It is the first time for people of Gwalior to enjoy such luxury surrounded by beautiful greenery in a theme based township.

Goyal Flower city is offering all luxurious and high-class amenities to their residents at affordable prices. With complete assistance on various Yojanas and Loans, so availing EMI’s for your dream home at Goyal Flower City will not be an issue.

It has been brought by Goyal housing a.k.a GOHO under the guidance of Mr. Tarun Goyal and led by the Vision of Late Shri Harishankar Goyal & Shri Ashok Goyal the Luxurious properties offered in terms of plots, flats, and villas, at Gwalior; include a concept of 101 ways of Happiness. The 101 Ways of happiness used by GOHO’s Goyal Flower City is based on 101 Amenities offered by Goyal housing at Goyal Flower City. The 101 Ways of Happiness or 101 Amenities include many different things like double height drawing rooms, outdoor chess, pool, and many more.

The concept behind GOHO’s 101 Amenities is that the Villa’s available in Goyal Flower city offers all these amenities, which aren’t present anywhere in Gwalior. The property includes all desired luxurious factors a household demands in an individual home and also at a residential society, which is, in this case, is a Themed City by Goyal Housing – The Flower City

In the end, would like to conclude – Don’t wait to buy your own house at GOHO, buy it and then wait.

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