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CA Questions Buying Homes in Urban India as Renting Often Beats Loans and Costs
Economy
Published on 8 May 2026
Low rentals plus high EMIs flip the math
A Chartered Accountant has sparked fresh debate by arguing that buying homes in urban India can be a poor financial deal compared to renting. Citing cities like Mumbai and Bengaluru, he notes rental yields stay low while home loan interest rates remain high, widening the gap for buyers. He adds that stamp duty and registration can take 5–7% upfront, worsening the upfront cost.
- Rental yields in major metros can stay low for buyers
- Home loan interest rates can be much higher than rental returns
- Stamp duty and registration add 5 to 7 percent upfront
- The cost gap makes renting look financially smarter for some
Read the full story at The Economic Times
This summarization was done by Beige for a story published on 
The Economic Times