Mumbai, August 2, 2025 – For many Indians, buying a home is one of life’s biggest milestones. Property agents’ glossy pitches on features and appreciation often disconnect from a family’s real-life needs, making the search overwhelming. To cut through this confusion and focus on what truly matters,
6 questions to ask yourself before zeroing in your dream house:
1. How much down payment and EMI can I afford without compromising on my other financial goals?
2. What flat size and configuration do I need for my family?
3. How far is it from my workplace, and are essentials like schools and hospitals nearby?
4. Do I want a brand-new project with future possession, or a ready-to-move home?
5. Does society offer the right amenities like parking, a gym, and a clubhouse with modern amenities?
6. Is the location likely to benefit from future infrastructure and appreciate in value?
Let’s see this in action by reviewing the personal situation of Rohan, a 32-year-old Finance professional in Mumbai who is looking for a new home.
Rohan has an annual income of ₹65 lakh. His office is located in Jogeshwari East, Western Express Highway. Currently, he lives in Kandivali East, paying ₹50,000 per month in rent for his apartment. With a net worth of ₹3.5 crore (₹1.5 crore in mutual funds, Indian stocks and ESOPs; ₹1.5 crore in FD, EPF and debt funds; and ₹50 lakh in physical gold and SBGs) and consistent income, it provided sufficient means to purchase a home. With a baby on the way and his parents planning to move in when they retire, Rohan wants to buy a new, bigger apartment to accommodate his growing family. With no existing loans, Rohan can easily afford an EMI up to ₹1.5 lakh a month.
Using the framework, firstly, areas were shortlisted based on average prices and daily commute distance. Andheri West, at ₹36,821, was eliminated as it exceeded the budget. While Goregaon West, at ₹25,476, was budget-friendly, Rohan did not want to commute from west to east every day during peak traffic hours. Similarly, Ghatkopar East (₹23,515) and Chembur (₹28,103) were affordable but too far from Rohan’s office, at 11km and 17km respectively. In contrast, Andheri East (₹24,960) and Goregaon East (₹27,860) proved both affordable and within 5km of Rohan’s office in Jogeshwari East.
Secondly, Rohan considered the market dynamics of these promising neighbourhoods. In the first 6 months of 2025, Goregaon East saw 480 units sold with 1988 units currently available for sale, while Andheri East recorded a sale of 864 units with 4426 units available for sale.
Thirdly, excellent connectivity was confirmed. With excellent connectivity via the Western Express Highway and JVLR, along with the Red-Line and Blue-Line Metro in the vicinity, Rohan was able to narrow down his neighbourhood search confidently.
Lastly, after matching all 10 preferences, Rohan was able to shortlist a total of 2 projects with clean builder profiles, one in each of these areas, matching the rest of his requirements, like amenities, and hospitals/schools in the neighbourhood.
This gave Rohan a good data-backed starting point for making a sound home-buying decision, which would not have been possible without a holistic personal finance approach.
Methodology:
1 Finance Housing Total Return Index calculates the PSF rates by using the historical transaction data for available RERA-registered residential units’ sales value and area.
Sharing his viewpoint on this constant dilemma, Mr. Animesh Hardia, Senior Vice President of Quantitative Research at 1 Finance, said, “Home buying traditionally suffered from a lot of opacity. But with RERA bringing more transparency and unbiased professionals (like financial advisors and real estate advisors) becoming more mainstream, making decisions that truly align with life goals is becoming easier. A financial adviser helps keep finances in order during home buying. A real estate advisor provides the right market intelligence to narrow down to the most suitable home options based on an individual’s constraints.”
Conclusion: The home you choose today will nurture your family for the next 20–30 years, shaping routines, comfort, and relationships. Take the time to evaluate every aspect thoughtfully, ensuring the decision benefits your entire family now and well into the future.
*Disclaimer: This case study is for informational and illustrative purposes only and should not be considered professional advice or a recommendation. The authors and organization are not responsible for any decisions based on this content. Please conduct independent due diligence before making any real estate or investment decisions.