Should You Buy A House Or Rent? Neeraj Arora's 3 Rules

"Buy the house you can afford over the long term."

For the Indian middle class, owning a home is a dream, and also one of the biggest reasons financial plans get derailed. On the Accompany Akki podcast, personal finance educator Neeraj Arora shared his own rent-versus-buy journey and the rules he follows.

Is a home you live in an investment?

Not really. If you live in it, it may appreciate, but its main value is security. That's why the decision needs more than a return calculation.

Neeraj's own journey

• He bought his first 3BHK around 2016-17, at roughly age 30, largely due to family pressure.
• He rented it out and lived in rented luxury homes for years, including a 4,000 sq ft house with a sauna, steam room and jacuzzi.
• When both his daughters got admission into the same school, he saw a 10 to 15 year horizon and bought right next to the school so they could walk.
• His home and office are so close that his commute today takes under five minutes.

Rule 1: Will you stay for 10 to 15 years?

If you can't see yourself in that location for 10 to 15 years, Neeraj says don't buy there. Life stages like school admissions often make this clear.

Rule 2: Can you afford it long term, including maintenance?

Neeraj rejects the popular advice, reportedly from Shah Rukh Khan to Rajkummar Rao, to buy a house bigger than your means. Recurring costs matter. In one month, maintenance on one of his flats reached around Rs 32,000 to 33,000 due to extra society charges. That's many people's full rent. He keeps his own home at 2,500 sq ft for this reason.

Rule 3: Live close to your office

Traffic is a major source of frustration for young professionals. Neeraj recommends living as close to work as possible, even if it costs Rs 1,000 to 5,000 more per month. The time and mental space you gain is a luxury.

The hidden costs of renting

• Address instability: Frequent moves complicate passports and official paperwork. A police verification certificate could require visits to multiple police stations if you've lived in several places.
• Landlord uncertainty: Being asked to vacate at short notice causes real stress.
• Constant shifting: Moving every year is a psychological and practical burden.

When not buying makes sense

Neeraj says if he had no children and he and his wife were natural wanderers, he would likely never have bought. He can work from anywhere and is even customising his Fortuner for overlanding and remote work. People who live light and value flexibility may be happier renting.

Ignore blanket advice from influencers

"Never buy a house" is not a rule. Neeraj warns that viral content often succeeds because it is outrageous or triggering, not because it is correct. Your decision should reflect your lifestyle, finances and needs.

You don't need to buy in a metro

A home doesn't have to be in Delhi NCR. You can build in your hometown or village. What matters is keeping your finances under control and matching the decision to your needs.

Key takeaways

• Buy only where you plan to stay 10 to 15 years.
• Budget for maintenance, not just the purchase price.
• Prioritise a short commute.
• Factor in non-monetary costs like stability and paperwork.
• Avoid one-size-fits-all advice, from superstars or influencers.

Watch the full episode:  https://yt.openinapp.co/6yf2q06

Join the Accompany Akki WhatsApp channel: https://wa.openinapp.co/a46ji

What's the biggest factor holding you back from buying, or pushing you to buy?