Flat purchase in Bengaluru with 84L debt

[Mohit]

Me and my wife live in Bengaluru, our combined income is about 2.7 Lakhs per month. My wife is a doctor and I work as an AI Engineer.

Our parents are back in our hometown, we're both in our late 20s. I keep wondering if I made the right call – coming from a modest background, owning a house has always been a dream.

Because of my AI and data‑science background I feel confident I'll ride the AI wave, maybe even grow and learn more. Still, the industry moves fast and I worry about keeping my skills fresh.

Flat details:

The flat is under construction and will be ready in about 3 years. Until possession I'll be paying a hybrid pre‑EMI – a fixed interest component plus extra amount to chip away at the principal. By the time I get the keys I plan to reduce the loan balance to 75 Lakhs. In the next three years I'll also need to save for renovation and registration, roughly 25 Lakhs.

Current numbers:
Flat price: 1.2 Cr
Loan amount: 84 Lakhs
Moratorium: 3 years (after which loan will be 75 Lakhs)
Tenure: 15 years after moratorium
Fixed monthly EMI: ~65 k (extra paid will go to principal)

Savings: 17 L mutual funds + 1 L stocks + 14 L PF + 4 L FD

Salary plan until possession:
85 k (rent + daily expenses)
70 k SIP
65 k EMI
30 k buffer (travel, flights, etc.)

Salary plan after possession (assuming same salary):
50 k daily expenses
80 k SIP
65 k EMI
55 k buffer

[Harini]

Good move, IMO. The house is reasonably priced and gives you the best bang for your buck since it's under construction.

Just make sure you set aside enough for registration and interior work. Good interiors are the difference between satisfaction and buyer's remorse.

[Namrata]

Full‑proof planning, kr ke dekhte hain – mode activated.

[Hardik]

I don't see any wrong step here – it's actually a good move. You're not buying an overly expensive flat like some people do for 2‑3 Cr with the same salary.

If you can save 1 Lakh per month, you'll clear the loan in under 10 years without straining day‑to‑day expenses. Once you own the house you'll stop paying that 85 k rent, freeing up money for your kids. Congratulations, and remember life always carries some risk – not every outcome can be 100% certain, so just chill.

[Pratik]

You're quite heavily leveraged – your debt‑to‑asset ratio is about 53.8% when you count savings plus the flat's value. In effect the bank owns more of your assets than you do. I get why you don't want to stay on rent, but the risk is real.

I was lucky to inherit a flat in the city I wanted, so I keep my debt‑to‑asset ratio under 5%. I can't tolerate anything higher, and that's why I understand the stress you're feeling.

Bottom line: the best financial move is the one that lets you sleep well. Ask yourself if this setup helps you rest easy or keeps you up at night. You have to choose the scenario you can live with – renting, being heavily leveraged, or owning a place you might not enjoy.

[Chiranjit]

This is how you should plan things like this. Don't worry, by the time you move in the property value will likely have gone up by 10‑15% or more.

[Ishita]

Are you planning to use all your savings for the flat's down payment?

[Rohit]

Sounds like you have everything covered and well planned – good work. The only thing I'd add is an emergency fund that can cover your EMI and monthly expenses for at least 10 months. Having a six‑month cushion is a solid start, IMO. It's priceless – speaking from personal experience.

If you really want to prove this is the right step, try a calculator like rentvsbuyIndia.com to compare renting vs buying with your exact numbers and see the impact on your net worth.

Let me know how it goes. All the best! Personally, I think you've got this well under control.

[Khushi]

Why is your rent 85 k??? That's insane for a couple earning only 2.7 Lakhs a month!

[Sharmila]

Paying 85 k in rent every month means you're living well above your means. Switch to something around 40 k and use the 45 k difference each month to chip away at the principal – you could get the loan under 60 Lakh after three years.

[Usha]

Hey, can we chat in DM? My wife's a doctor and we're planning to move to Bangalore in a few months. We have no idea how the medical field works here. A huge help would be appreciated. Thanks!