Find out whether you need a house or not in 60 seconds

# Year Rent
Monthly Rent
Basic
HRA Received
(Defaulted to 50% of basic)
Basic growth % YoY
Rent growth % YoY
Cost of House (in Lakhs)
Loan % to the Cost of House
Tenure (years)
Interest Rate %
House appreciation % YoY

5500
13500
6500

4
6
50
85
12
10
12
in thousands
Max. per year tax free interest
150
Mx. Per year tax free principle
100
Tax rate %
30
Loan Amount (in Lakhs)
42.50
Returns on your investments %
Return on 5 yr. Bank Fd %
EMI * 12 (in Lakhs)

NPV of Renting a House Rs.

NPV of Buying a House Rs.

13
9
6.24

4,720,961
2,378,296

Basic

HRA Tax
benefits

HRA

2007

66,000

162,000

78,000

14,940

2008

69,960

168,480

81,120

15,934

2009

74,158

175,219

84,365

16,991

2010

78,607

182,228

87,739

18,115

2011

83,323

189,517

91,249

19,312

2012

88,323

197,098

94,899

20,584

2013

93,622

204,982

98,695

21,937

2014

99,240

213,181

102,643

23,376

2015 105,194

221,708

106,748

24,907

10

2016 111,506

230,577

111,018

26,534

11

2017 118,196

239,800

115,459

28,265

12

2018 125,288

249,392

120,077

30,105

13

2019

14

2020

15

2021

16

2022

17

2023

18

2024

19

2025

20

2026

<<

HRA bnfts

Value after 12 yea

1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19

57,308
54,088
51,041
48,158
45,432
42,855
40,418
38,115
35,938
33,882
31,939
30,105
0
0
0
0
0
0
0

20

seconds
Tax Benefits on
EMI*12

Interest

Principal

Total

Interest

Down
Pmnt

Principal

623,744

425,000

198,744

75,000

45,000

30,000

623,744

405,126

218,618

75,000

45,000

30,000

623,744

383,264

240,480

75,000

45,000

30,000

623,744

359,216

264,528

75,000

45,000

30,000

623,744

332,763

290,981

75,000

45,000

30,000

623,744

303,665

320,079

75,000

45,000

30,000

623,744

271,657

352,087

75,000

45,000

30,000

623,744

236,448

387,296

75,000

45,000

30,000

623,744

197,718

426,026

75,000

45,000

30,000

623,744

155,116

468,628

75,000

45,000

30,000

623,744

108,253

515,491

62,476

32,476

30,000

623,744

56,704

567,040

47,011

17,011

30,000

EMI Invested
Value after 12 years

Tax bnfts

2,392,596
2,117,341
1,873,753
1,658,189
1,467,424
1,298,605
1,149,208
1,016,998
899,998
796,459
704,831
623,744
0
0
0
0
0
0
0

287,690
254,593
225,303
199,383
176,445
156,146
138,183
122,286
108,217
95,768
70,598
47,011
0
0
0
0
0
0
0

750,000