Earning 2 lacs a month yet 15-20 years to buy a house? Experts gave important advice where exactly the math is going wrong

• Earning 2 lacs a month yet 15-20 years to buy a house?
• Where exactly is the math going wrong?
• Important advice given by experts

on EMI Buying a home is easy, but truly owning it takes decades. According to experts, expensive houses, long EMIs and low down payments keep people stuck in debt for years. Property prices are increasing rapidly in Delhi-NCR. It takes 10 to 20 years to buy and own a house here. Surprisingly, even high-income individuals are taking years to fully own their own home.

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Most buyers, even those with good salaries and career advancement, take decades to become homeowners in Delhi-NCR. The cost of home ownership has now reached a level that is even outpacing income growth.

House prices are rising faster than incomes

The biggest reason for this is that property prices are rising much faster than incomes. Property prices in Delhi, Gurugram, Noida and Delhi have been increasing steadily. The annual rate hike here ranges from 6.9 to 9.4 percent.

Meanwhile, the income of people in the higher income group has not been able to keep pace with this growth. For example, apartments in prime areas are now available for Rs 1.5 to 2 crore, making it difficult for even those earning Rs 20 to 30 lakh a year to afford them.

Impediment to construction of affordable housing

According to experts, land prices are rising rapidly in major cities, which is a major challenge. This makes it difficult to build affordable housing, forcing developers to shift to more expensive segments. He explained that demand for homes priced below Rs 1 crore (about $10 million) in major cities is waning and sales are slowing, as buyers either move to better-priced homes or change their expectations altogether.

The EMI burden lasts for years

Experts explain that while it is easy to get a home with a home loan, it can take decades to fully own it. Depending on the current interest rates, the monthly EMI amount for a loan of ₹1 crore (approx. $10 million) can range from ₹80,000 to ₹1 lakh (approx. $10 million). Many buyers take loans for 20 to 30 years, spending a large chunk of their income on EMIs. This is why even high-income individuals take decades to become homeowners.

Budget breakdown due to down payment

Experts explain that banks generally demand 10-25 percent down payment.

The price of the house is ₹1.5 crore
Down payment ₹15 to ₹30 lakh (10-25%)
Additional charges: Registration, GST and other charges
Savings can take years
Why is this difficult? Rising Inflation and Costs in NCR
Savings to sustain lifestyles are diminishing
According to experts, as income increases, so does expenditure. Naturally, people with higher incomes tend to live in expensive rental housing, which consumes a larger portion of their income. Additionally, money is spent on school, health, and lifestyle items like cars and travel, making saving difficult.

Investors and speculators are ruining the budget

Real estate in NCR is not only dependent on homeowners, but investors also play an important role. Many investors buy many properties at once, which increases demand and drives up prices. Moreover, new projects tend to cost more initially. As a result, it becomes more difficult for genuine home buyers to purchase a home.

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What to do to become a full house owner quickly

According to experts, if you want to buy a house early, first look for houses in emerging areas around Greater Noida, Faridabad or NCR, where rapid development is likely.

• Save well before buying a home and increase the down payment to reduce EMI burden.
• Instead of buying a big house (3BHK), start with a one or two bedroom flat.
• Always choose a ‘ready-to-move-in’ home to avoid the hassle of delays.
• Most importantly, do not pay both EMI and rent at the same time.
• Keep the duration of EMI short and compromise in case of large amount in between.

Important tips from experts

• Look for homes in emerging areas, away from prime locations.
• Make a higher down payment to keep the EMI low.
• Start with a small house (1BHK/2BHK) instead of a big house.
• Always prefer ‘ready-to-move-in’ properties.
• Pay the advance at regular intervals to pay off the EMIs early.