The ultimate financial dilemma: Buy a home on loan or rent and invest the difference?
The Cost of Debt: By paying an EMI of ₹20,000 for 20 years, you end up paying ₹2,495,383 just in interest to the bank. However, investing the same amount could generate ₹15,182,958 in returns.
When you take a home loan, you commit to paying a large sum as interest over 20-30 years. This calculator helps you visualize the Opportunity Cost. If you invested that same monthly amount in a high-growth equity SIP (12-15% return), the compounding effect often outperforms the real estate appreciation.