30 Year Old, Purchase a Flat or invest in Mutual Fund.?

Depends where youre buing the flat

Go with MF if its just for investment. Its easier, doesn't need a huge lump sum and definitely not a loan. But if you plan to live in it, you can buy a flat.

Do you already have a house? If not, better buy one first assuming it is at a good location & will appreciate in value in the future.

If you have good liquid savings then buy flat otherwise MF and then create good amount first and then think about flat

Go for both!

A flat at emi (not exceeding 20 yrs)

+ Invest in MF (medium to high risk since ur still young)

U can also do hedging to manage risk!
Sooo,.. If you're 30 and torn between buying a house on EMI or investing in mutual funds, here’s the lowdown :
Real estate can grow in value and gives you a solid home base, + some sweet tax perks, but it's not easy to sell quickly and ties you down with a long-term loan (keep it under 20 years!)(less liquidity).
Mutual funds are flexible, diverse, and professionally managed, but they ride the market waves.
Sooooooo WHY not mix it up? Put some cash into mutual funds for growth and liquidity, and save up for a house. Investing in Nifty 100 and 500 index funds can be solid, giving you a broad spread across top companies. Match your moves to your financial goals and comfort level (Dont forget Hedging), and maybe chat with a financial advisor for some gud advice.

If you stay in a city where flat rents are almost same as your monthly emi like Bangalore, then I would recommend to get a flat and continue sips with less amount together.

You'll be able to save some taxes as well as leverage mutual funds return in long term. 

my suggestion buy a flat if you don't own a home not as an investment option. I would aggressively pay back my home loan in least number of years and then build a mf portfolio since market are all time high and may not give good returns in coming years.

I repeat do not buy a flat as an investment option. flat is a liability(maintenance charges ,water bill, property tax etc) to you but an asset to your future generations. for investment buying land is better than a flat but it is risky due to land mafia, political party etc.

If you don't have any property, then go for the both.

If you already have your own flat, then MF/Equity.

Depends on lot of things/circumstances:

1. From an investment point of view NO

2. If you have decided to settle down at that place , you don't have any existing house of your own or you want to upgrade from what you already have then you should definitely think about buying a flat.

3. Also depends on your financial condition. As loan tenure will be approx 25-30 years so you should have a stable job.

I would suggest go for a flat with 30L loan for 20 years, you have rental income, tax benefit and capital appreciation to help you. Total interest payable if you serve the loan = 34L

Also start SIP of 0.1% of loan value per month which is 3000 for loan period of 20 years. Compounding at 12% which is very realistic post tax return shows 29L corpus.

So interest is knocked out by SIP returns. The cashflow from rental will after a period of 7 years be equal to EMI and if you consider tax benefit then breakeven will be even earlier.

Flat of course and then give it on rent. Put the income you earn from the rent in mutual funds (SIP or lumpsum after accumulating for a few years)

Ankur warikoo ko mat follow Kar bhai ......achi si jagah dekhkar ghar le lo

First things first, you're 30 already and making a 30 year plan means you're retired by then.

35 home loan for 30 year means 30k emi. So lets talk on that term.

30k monthly SIP for 30 years can generate 10 crores, at modest 12% return. Can that 35 lakh flat fetch that kind of money, that too after 30 years, when the building will be quite old? I don't think so. But that matters only if you sell it, not if you continue to live in it.

However, just relying on mutual funds cannot help, as they will no doubt generate more money, but only notional. You can neither live in an excel sheet nor in a demat account. You live in real world, in some house made of bricks/cement.

So what now? First, check your fallback (safety) and then decide. What if you lose job after 5-7 years or face any tough conditions (don't consider yourself alone if unmarried now, as after 5 years you might have a wife & kids)? Do you already have flat/house/property owned by parents, where you can go (with your wife & kids) and live for some duration, lets say 2 years minimum? If yes, then you can take some risk and invest fully in mutual funds SIP now. Look for property whenever you have extra cash for it down the line.

You could have also chosen the flat option and be satisfied with whatever return it would generate. But a huge problem with that idea is, 30 years loan for 35 lakh flat is just too much. In 30 years, you'll pay 65 lakhs just for interest. GST extra. So what return would you even get at the end. Maybe close to zero. So you need to rethink this loan duration. If you think you cannot finish it off early like in 10-12 years, then forget that flat and invest in mutual funds only.

If OP is serious about planning then need to share more details, the current work, job security, monthly income, current expenses and rentals and residing place,  marriage plans or current family status etc etc.no point in discussing here, can go thru YouTube etc then.

In the current economic scenario, i would advice against taking a long-term loan.

If you see yourself holding your current job for a long time with regular appraisals, I would suggest doing a SIP into MFs. Alongside, open a Recurring Deposit account and save every month as much as you can from your salary into this account. 8-10 years down the line, you would have accumulated enough to put down a hefty deposit that'll lower the emi you will pay for the house. If you are unmarried, you will marry someone (hopefully!) and she may also contribute towards the 'apna home fund'.

Good luck.

The one which you understand better.

People made fortune both in Real Estate and Equity. Go with the one you have more interest else go 50:50.

As an investment a flat holds very little value as compared to

Other investments or a property with land

However it makes sense if this is a necessity and adds value to your

Security,convenience,social acceptance etc

Do ask these questions also

Are there possibilities of decent rental income today and growth in future?

Will you be paying income tax on rental income

DO you have another place to stay?

Can you claim an income tax rebate on interest paid?

Are you planning to settle in this particular city?

If you are away from this city can someone else manage the property?

Have you considered that a thirty year loan makes a large interest payout

The resale value? Easily sellable?

If Flat is only for Investment purpose then Do investment only in Mutual Funds. Don't go for single mutual Fund. You should have a mix of Large, Small and Mid Cap Mutual Funds. That will easily Fetch you 14-15% CAGR Return in 20-30 Years Time Frame.

Moreover it is easier to cash out Mutual Fund In case of Emergency rather than Property. 

Last 10 Years real Estate CAGR is just 6-8% depending on the location. Moreover You will be paying Interest on the Property and You will end up paying 60-70 lacs in case of 35 Lac rupees Property. Even If you Property Value at that time is 2 Crores. You could only make 1.30 Crores.

But in Case of Mutual Fund your 72 Lacs in 30 Thousand SIP Then Will be atleast 3 Crores by the end of 20 Years with CAGR of 12% only. With 14-15% the Value can go upto 4-5 Crores.  So Benefits will be around 2.5-3 Crores. Which is higher than Real Estate return.

This is just a calculation of 20 Years. Imagine How much you can make in 30 Years Time.

So compare and Think Wisely.

The house should be delayed until you have a good corpus.  Go for MF until you make enough to say fu*k off to you Boss.

Purchase Land. They don't make them anymore

If you want to take loan for 30 years then mutual funds are a better option.

Which one could have higher chances to give more return?

First see

Value of flat in last 10 years increase percentage ...

So you will approaxwill get that return percentage...

Take on loan and take benefit of this on tax ...

Put this on rent ....

Pay ur emi income approax 80 % from this ...

Put your money in mf ,index funds ...

what kind of unrelated boring topic is this ??

flat/house is for living. Its like asking to buy clothes and food or mutual fund, lottery ticket, gold, shares, rummy, luck.

when not alive you will ask whether to purchase coffin or bitcoin.

But yes you can skip all higher education and buy house plots flats because hate edu, its a scam world. Costly entrance and form exams, 97% professors taking salary for sitting writing dumb copy paste research and reading books to students who have to anyway self study and get question bank later. Why should some mba cost Rs. 1crore with repeated lectures every year. They dont even need more infrastructure than IT course, just bench desk. Dumb 50 paise certificates. Cheap diploma ITI and artisan courses are real ones needing money for big machines and tools for each trainee.

Someone buy my 400 Udemy courses for 500 x Rs.10lac = Rs. 50crore

Flat value wont appreciate much. You will end up paying interest for 20 years. Either invest flat emi money on a plot in outskirts or invest in blue chip stocks or mf. Using these returns if you are still interested in flat after 20 yrs, you can buy. You will still have money for retirement...

Opting for an apartment could be a wise choice in India, considering the pace at which property values appreciate, often outstripping the NIFTY 50 index gains. When selecting an apartment, consider these guidelines:

1. Choose a location that’s not central but is gradually attracting residents, ensuring the property prices are still reasonable.
2. Ensure the property is part of a residential community.
3. Verify that the construction is undertaken by a well-known developer and that the project includes a substantial number of units.
4. Look for a property with ample amenities and established road links to the city.
5. Aim for a property where the other purchasers are more affluent, which might require you to extend your budget and secure a substantial loan from lesser-known international banks offering a 1% lower interest rate.
6. Most crucially, go for a property that’s under construction, projected to be completed within two years, and where the site activity suggests rapid progress.

You can anticipate returns exceeding the market average by the second year, once the developer hands over the apartment, even as they continue to sell remaining units. In a span of 6-7 years, you could see the property’s value doubling, translating to an annual return of approximately 10.41-12.25%. However, holding onto the property beyond this period might yield returns that fall below the market average.

Highly recommend question

I have experience with such scenario. Buying home with emi is very bad if you don't want to live in it. 35L loan will force you emi which consists of 35k around interest components + property tax + other maintenance per month against rental income of around 10-12k. So ultimately you have loss of 40k-12k= 28k. Now to overcome the loss your property rate need to be rise minimum 28k per month which is mostly never fulfill. Income tax benifit is not much valuable. I had wasted 7years in this scenario. Then I sold it and invested in commercial property giving around 0.5- 0.8% rental yield per month (annual 6 to 10%). Property price also rise much faster in comparison to residential zone. So ultimately you will beat annual inflation with rental income and property rate rise will be your true income. Now in MF, according to past performance, it's good investment but it should be second option for individual who don't have any property. MF income is also not guaranteed but one can expect atleast 10% minimum on 15+ years investment perspective.