R
Ritu Vyas
Delhi's EMI vs rent math doesn't add up anymore.
Since January I've been shortlisting flats in this city, but the numbers just aren't clicking. I'm looking at a 3BHK in Saket or Vasant Kunj, around ₹3 Cr. EMI for that would be massive. Rent for a similar place is maybe ₹70-80k. Kya lagta hai, is the rent vs buy debate still valid in Delhi? The ROI on rentals seems so low, but property appreciation has slowed. Should I just keep renting and invest elsewhere? Thinking about Godrej or DLF projects.
#rent-vs-buy#new-delhi#3bhk#emi#roi
Comments
Exactly! My cousin booked a flat with a big builder near Dwarka Expressway, not exactly Delhi but close, five years back. Expected possession was 2021. Abhi tak possession nahi mila hai, aur builder ne date phir se extend kar di hai. EMI toh jaa hi rahi hai, upar se rent bhi bhar rahe hain. This is the risk with 'investing
U7, you're spot on. The Delhi market, particularly for high-end properties in South Delhi, has been stagnant for a while. While there might be minor fluctuations, a significant boom like 10-15 years ago isn't expected anytime soon. The supply is catching up, and affordability is a huge issue. Unless you're buying for purely sentimental reasons or have black money to park, the investment argument is weak. Even in Alaknanda, prices have been stable, not really growing. So, no, I don't think it's a temporary blip for this segment.
The OP mentioned Godrej or DLF. These are big names, but even their projects in Delhi seem overpriced for the current market. I’m seeing similar patterns in places like Alaknanda too. Is this slowdown just a temporary blip, or are we looking at a long-term trend for Delhi's high-end market? I'm worried about getting stuck with an asset that won't grow.
I almost made the mistake of buying a 2BHK in Anand Niketan two years ago. Builder was quoting ₹2.5 Cr then. Thankfully, didn't go through with it. That same property is probably worth ₹2.6-2.7 Cr today, barely any appreciation. Meanwhile, my investment in mutual funds has given me way better returns. The 'ghar banana hai' emotional attachment is strong, but the financial math is just not adding up for Delhi anymore, especially for premium locations. The gap between EMI and rent is too wide.
Yeh toh sach hai. My parents keep saying 'apna ghar hona chahiye', but my EMI would be double my current rent. Toh kya best option hai, bhai? Renting continue karein ya smaller city mein invest karein?
Totally agree with your point about emotional attachment vs. financial sense! Same boat here.
Honestly, at ₹3 Cr, that's just too much for Delhi right now. Appreciation has been flat for years in many areas. Better to rent and keep your capital liquid.
Bhai, exactly my thoughts! I'm also looking in Vasant Kunj, and the EMIs are just insane. ₹3 Cr for a 3BHK means an EMI of at least ₹2.5-3 Lakhs, assuming a 20-year loan. How can anyone justify that when rent is less than a third? Lagta hai ab rent hi best option hai unless some miracle happens.
Since January I've been shortlisting flats in this city, but the numbers just aren't clicking. I'm looking at a 3BHK in Saket or Vasant Kunj, around ₹3 Cr. EMI for that would be massive. Rent for a similar place is maybe ₹70-80k. Kya lagta hai, is the rent vs buy debate still valid in Delhi? The ROI on rentals seems so low, but property appreciation has slowed. Should I just keep renting and invest elsewhere? Thinking about Godrej or DLF projects.