What is the better Option ?
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What is better, buying a house or investing in mutual funds?

95°
Budding Star
bobby_123

Suppose, you have 60L in your hand and you've two options.

  1. To keep all in 60L MF
  2. To buy a flat of worth 60L and put it on a rent of 20k monthly (this is what most cities offer). The actual rent is 21.5k but you give away 1.5k monthly for the maintenance and security.

Since the purpose is investment and the only two choices offer return on long term. Therefore, I direct my assumption towards a long term, say 15 years.

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Deal Subedar Deal Subedar
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50L property details, please.

Budding Star Budding Star
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its a 2BHK flat in  Maharashtra, Virar 
Finance Mentor Finance Mentor
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"To buy a flat of worth 50L and put it on a rent of 20k monthly (this is what most cities offer)"

What city let's you buy an apartment with only 50L?

Pro Entertainer Pro Entertainer
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For long term investment, why flat , buy a house , u must own land.

U can opt for mutual funds as well (reit)

Budding Star Budding Star
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from the above given choices, 

investing in flat is suggestible and investing rent received in MFs can be done further.

Deal Subedar Deal Subedar
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invest.. use monthly income for rental

Vanguard Vanguard
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Land

Benevolent Benevolent
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one is investment, the other one is expense. rent is too small to get roi.

Hotshot Hotshot
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invest all money in mf 

50% large cap index fund

30% small cap

20% midcap

do lumpsum of 6 lakhs for 10 months

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