About this calculator
Enter the price, rent and your assumptions. The calculator follows both paths month by month and compares what each person owns at the end.
How to use it
- Enter the price and the rent for a similar home.
- Enter loan details and the period to compare.
- Enter growth, rent increase, investment return and costs.
The formula
- home value
- price grown at the property growth rate
- monthly savings
- buyer’s EMI and maintenance minus rent, invested each month
Worked example
₹80 lakh flat or ₹25,000 rent, over 20 years
- Buyer: home worth ₹2,12,26,382, loan cleared.
- Renter: investments worth ₹3,47,42,671 at 10%.
- With these assumptions renting leaves about ₹1.35 crore more; at higher price growth or lower returns, buying wins.
What the result means
The result swings with property growth and investment return. Run a few combinations, and remember the security of owning a home has value too.
Assumptions
- Rates stay the same; the renter invests the difference every month.
Limitations
- Tax benefits on home loans and capital gains tax are not included.
- Moving costs and rent deposits are not included.
Frequently asked questions
Is it better to rent or buy in India?
It depends on the price-to-rent ratio, growth and returns. In big cities rent is often 2% to 4% of the price a year, which favours renting financially.
What property growth should I assume?
Many people use 4% to 7% a year; try several.
Does this include home loan tax benefits?
No. They depend on your tax regime; under the new regime there is little benefit for a self-occupied home.
For information only. This calculator gives estimates based on the figures you enter and the assumptions listed above. It is not financial advice. Actual amounts depend on the lender’s or institution’s terms, fees, rounding and rate changes. Please confirm with them before you decide.
Last reviewed on 1 October 2026. Found a mistake? Tell us.