Written by Abhishek Thakur | EarnHubs
We all dream of having our own home one day. But is it always the right time to buy? Or is it better to live in a rented house and save money? (Where Should I Invest My Money )This is not an easy choice. I’m Abhishek Thakur, the founder of EarnHubs, and today I will explain in very simple words the pros and cons of buying vs renting. I will also help you understand where you should invest your money smartly in 2025.
Let’s begin. (Where Should I Invest My Money )
What Does Buying a House Mean?
Buying a house means you own it. You either pay the full amount or take a loan (called home loan) from a bank and pay it back every month as EMI (Equal Monthly Installment).
Advantages of Buying a House:
- You are the owner. The house is yours.
- You don’t have to pay rent every month.
- After 15-20 years, the house becomes a big asset.
- You feel secure. No landlord can ask you to leave.
- The property price can increase in future.
Disadvantages of Buying a House:
- You need to pay a big down payment first.
- Monthly EMIs can be high (₹30,000 to ₹60,000).
- You also pay maintenance charges and property tax.
- If you change jobs or cities, you cannot move easily.
What Does Living on Rent Mean?
Living on rent means you stay in someone else’s house and pay them money (rent) every month. You do not own the house.
Advantages of Renting:
- No big down payment needed.
- Rent is cheaper than EMI in most cities.
- You can move easily to a new city or home.
- You don’t pay for repairs or big maintenance.
- You can use your saved money to invest elsewhere.
Disadvantages of Renting:
- You are not the owner.
- Rent increases every year.
- The landlord may ask you to leave.
- You can’t make big changes in the house.
Real-Life Example:
Let’s say you want to live in a flat in Delhi. (Where Should I Invest My Money )
- Buying: Flat price = ₹60 lakhs
Down Payment = ₹12 lakhs
EMI (for 20 years) = ₹45,000/month - Renting: Same flat’s rent = ₹18,000/month
Savings = ₹27,000/month
You can invest this saved money in mutual funds or SIPs.
In 20 years, if you invest ₹27,000/month at 12% interest, you can earn ₹2 crores!
Where Should You Invest Your Money in 2025?
If you are living on rent and saving money every month, it is very important to invest it smartly.
Best Places to Invest in 2025: (Where Should I Invest My Money )
- Mutual Funds – Good for long-term returns.
- Systematic Investment Plans (SIPs) – Easy monthly savings.
- Public Provident Fund (PPF) – Safe and tax-free.
- Index Funds – Low risk, good returns.
- Gold – Digital gold or sovereign gold bonds.
- Real Estate – Buy property for renting out, not always for living.
- Stocks – For people who are ready to learn and take some risk.
What Should You Do?
Everyone’s situation is different. But here’s a simple guide from me, Abhishek Thakur, for the readers of EarnHubs:
Buy a House If:
- You plan to live in one city for 10+ years.
- You have a stable job and regular income.
- You can pay at least 20% down payment.
- You want to feel safe and build your future.
Live on Rent If:
- You are young (under 35) and still exploring.
- You change jobs or cities often.
- You don’t want EMI pressure right now.
- You want to invest your money first.
My Personal Advice
Many people think buying a house is always the best. But that’s not true. Buying a house too early can be stressful. You may miss better job or life opportunities because of EMI pressure.
That’s why, living on rent + investing your money smartly is a better option for many young people in 2025.
When you become financially strong, you can buy your dream home with peace of mind.
About Me & EarnHubs
I’m Abhishek Thakur, and I created EarnHubs to help people like you learn about money, savings, and smart investments.
I write easy blogs to help you:
- Save more money
- Earn online
- Invest safely
- Make good financial choices
Follow EarnHubs to grow your money, step by step.