Rent or EMIs: The Confusion in Every Millennials Mind
As of 2021, children born at the turn of the century are legal adults with the right to marry, work, and choose the government of their choice. What’s interesting about this entire demographic is the fact that certain aspects of life have held a poor hold on society, shaping and defining adulthood. An example of this is the idea of homeownership.
Picture this: You’re in your twenties, you work 9 to 5, you’re new in town, you have the opportunity to live in a luxury home filled with all the amenities you want, and you only need to pay monthly rent. If you had decided to settle in the city, would you take this or invest your money in buying a house? Easy beginnings for a stable life?
Today, everyone has witnessed at least one case of an elderly person speaking in praise of the people who own the house they live in and made a “wise financial decision” at the right time, and it is not wrong to admire those people who seem to have noticed. all out. But the question remains, is this what most millennials want today?
Homeownership is seen in most social circles around the world (and very significantly in India) as a sign of great financial stability and thus a sign of being able to provide for our loved ones. Living in a home you bought with your hard-earned money is a source of immense pride and can bring many unexpected benefits, such as becoming a source of passive income and providing tremendous security in times of need. These are all results of emotional bias, and very few have realized the economic logic behind it. Driven by passion and outgoing, millennials are focused on making the most of their younger days, both socially and professionally. They want to make a big profit, live a wonderful life, and still provide security for their former days. And if that’s the case, aren’t EMIs the best option?
With a preference for easy beginnings, millennials are moving out of their homes in their twenties, prioritizing their money and time according to what they value most. This is why the phrase “I should invest in a house” is often met with contempt, disinterest, or both. Buying a home is seen as a limiting factor for a person who did not intend to put down roots at that particular time in her life. A person prefers to pay a minimum rent and spend the rest on travel, studies, experiences, etc., whatever makes them happier. This sentiment is absolutely true. I’m sure you’ve felt this way at some point in your life, which also means millennials can’t be blamed for continuing this way.
Renting is a great option (both short-term and long-term, up for debate) because it frees you from the trappings of regular extra responsibilities like maintenance and upkeep, and allows you to take advantage of opportunities and opportunities as they come along. . Some might justify it by saying: “You can buy a house at any time in life, and now I would like to live in the moment and have fun.” But if you have focused on stability from the start, investing in a house in the capital will guarantee it. If you are sure of your decision, act immediately. Many banking schemes allow you to pay an EMI that is equivalent to one month’s rent. Also, some real estate projects give you possession of the house soon after you make the down payment. This alleviates the burden of paying equal monthly installments and rents.
In a volatile market where real estate prices continue to fluctuate, it is really smart to invest in this sector, put down roots and secure your future. So, if your current active income allows, proper financial planning can fit into buying a home and give you the lifestyle of your dreams.
Also, Read – How To Buy A House – Step-by-Step Guide