For decades, owning a house was seen as a proud achievement in Indian households symbolic of success, stability, and adulthood. Parents often pushed their children to buy homes early, even if it meant burdening themselves with heavy EMIs. But in 2025, the mindset of India’s younger generation is shifting. With rising property prices, changing work patterns, and a desire for lifestyle freedom, more and more young Indians are opting to rent rather than buy.
The traditional belief that real estate is a must-have asset is now being re-evaluated by India’s 20- and 30-somethings. According to C Prabhakar, Director of Gopalan Enterprises, “High property prices, student debt, and job mobility are delaying homeownership. Many still aspire to buy, but they’re choosing to wait for the right moment.” In contrast, Pashin Jhobalia, CMO of House of Hiranandani, highlights an uptick in millennial homebuyers in their Thane township. From 134 buyers in 2023–24, the number jumped to 366 in 2024–25, a 173% rise, indicating that for some, ownership is still attractive just more carefully timed.
The appeal of renting lies in its flexibility. For young professionals in fluid careers, relocating cities or shifting jobs is easier without the burden of a mortgage. Renting involves lower upfront costs, no maintenance hassles, and offers short-term liquidity. Prabhakar emphasizes that renting can allow young earners to build an emergency fund and invest elsewhere before committing to property.
However, homeownership still has long-term financial benefits. Jhobalia states, “Real estate remains one of the few appreciating assets. Ownership brings tax benefits, emotional security, and equity growth.” With rent prices rising, especially in metro cities, and the RBI lowering the repo rate to 6.0%, monthly EMIs are starting to look as affordable as rent, prompting some to reconsider buying.
The financial experts agree that there’s no perfect age to buy a house it depends on personal readiness. Early 30s is seen as a good starting point when savings, job stability, and long-term plans come together. Prabhakar advises buyers to keep EMIs within 30–40% of their monthly income and ensure an emergency fund and insurance are in place first. Meanwhile, Jhobalia urges young earners to plan wisely and avoid common mistakes like underestimating total costs or neglecting credit scores. He notes that skipping market research or overcommitting to EMIs can lead to long-term financial strain. Developers are now offering flexible payment schemes to attract first-time buyers, but financial discipline remains crucial.
Looking ahead, India’s rental market is expected to evolve with co-living spaces and tech-driven services. But with limited housing supply in urban areas and rents projected to rise by 7–10% annually, more financially stable millennials may gradually shift toward ownership. Ultimately, the rent vs buy debate isn’t about choosing one over the other forever. It’s about timing it right. Renting suits the dynamic lifestyle of today’s youth, while buying a home offers rooted security for the long haul. The key is balancing short-term freedom with long-term planning and making choices that align with personal goals, not societal pressure.
