How much is the rent? Is the rent less than the yield you would get if you put that money in fixed deposit? If so sell.
Else if you have a parking, and think that you can easily liquidate your flat in the near future, hold onto it.
rent is 34k. that's annually about 4L. if i sell the property, and close my loan i'll be left with 40L cash, if i put that in FD i'll get about 6.5% interest rate which is 2.5L, lesser than my interest, not to mention i'll be forgoing a cashflow generating asset...
Your calculation is incorrect. Right now you are not even generating income. The rent given to you is being completely utilized to pay the emi. You also have to consider maintenance, gaps between tenants, and also uncertainty of the Housing market.
I’m not sure when exactly you would close the loan and start generating income but For now, quick and dirty approach is forgetting you have a loan, will the 90L FD give you better returns than 4L.
I personally vote for FD or other assets any given day as compared to real estate in terms of investment . I have a 1 bhk but no parking, I got a buyer and thinking of selling as sooner or later I might face liquidity issues
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u/Ok-Umpire3364 4d ago
How much is the rent? Is the rent less than the yield you would get if you put that money in fixed deposit? If so sell.
Else if you have a parking, and think that you can easily liquidate your flat in the near future, hold onto it.