While India’s economy drives the roadmap of an ‘Atma-Nirbhar Bharat,’ it appears that consumer behaviour follows the suite and all within reason. On the one hand, we are compelled to pursue stability in these unsure times. While on the other hand, the same conditions have triggered a shift in economic and financial paradigms, which makes buying a home much more appealing than renting one.
The age-old proverb of ‘Roti, Kapda, Aur Makaan’ has never gotten more significance than during the recent lockdowns. According to JLL India’s survey, over 91% of individuals above 35 years of age, who were questioned, preferred buying an apartment than renting out one in the coming six months. In addition, nearly 67% of the same individuals said that buying a home is a necessity.
Not to say that statistics are the exclusive force behind the transitional shift from home renting to a buying mindset, the argument returns with several facts:
1. Financing Justification Of Renting Vs. Buying A Home
An ever-increasing population is on the quest for finding the home of their dreams due to being fed up with paying outrageously high rents in metropolitan cities. In many cases, the landlords have increased rent at their own will. Such behavioural and social issues propel individuals to explore options of buying a home.
For example: The Cost of living in Chennai for ten years will approximately be ₹ 60 lakhs (₹ 50,000 per month + standard rental escalation for this period), which is approximately 52% of the cost of owning a property in the newly developed areas of Chennai.
2. Low-Interest Rates
The home loan interest rates that are being linked with the repo rate is at an all-time low in the last 20-years. Presently, the lowest interest rate is roughly 6.85%. In contrast, last year, the lowest interest rate was between 8.55% to 8.75%, which makes the new rates one of the best in the last two decades.
Exclusive offers, Low or no GST charged, minimal booking amounts, and exciting referral schemes are just a few of the various perks that are on the table for interested homebuyers right now. Similarly, ‘Ready-To-Move-In’ flats are one of the fastest-selling property types as there is no GST charged while reassuring potential home buyers of being able to move into the home and start living there as soon as they want.
3. Assets Vs. Liabilities
Ownership also provides you an asset that can be utilized during uncertain times. On the contrary, paying monthly rentals are quickly tun to be a liability. Besides, paying EMIs for a house loan also offers dual benefits. Not only does your share of EMI provides you with shelter, but it also increases your proportionate ownership of the house.
Additionally, a home loan also enables you to avail of attractive tax benefits, which renting a house does not offer. Housing preserves its inherent value in doubtful times and ultimately goes through value appreciation as time improves.
Find The Best Realty Firm In Chennai
If you are looking for apartments or villas in Chennai that offers you a luxury living, you must do your research correctly. And, if you’re looking for homes within exceptional communities, then your answer lies with Jones Foundations. A haven of tranquillity amidst the chaotic city life, our integrated realty projects offer one of the craftiest, safest, and value-for-money investments.
Explore the world of Jones Foundations and find a surfeit of options with personalized offers that would make your home buying experience a memorable one. Contact us. Buying your home may never look this alluring anywhere else, ever again!