How My Views About Property Are Different From My Dad's

In the good-old days ― well, not too old as we are only talking about the times after independence ― property purchasing was perceived differently than it is today. People of this generation, for instance, think differently than their parents' or grandparents' generation when it comes to real estate investment. 

What is the basic difference between the past and the present?

We don't hesitate to borrow to buy property

We won't be wrong in assuming that most home-buying deals of today would not take place if banks were not there to offer credit. Young homebuyers are only too eager to get a home loan. Will it not mean they become property owners in their 20s? Will it also not mean they save big on taxes? Will it also not mean they do not have to live in rented place for a great part of their lives? In our hurry to reap all these benefits, we rush to banks with a loan application and pray that things work out well, and we are granted the loan.

Our fathers and grandfathers, in most cases, would not share our view. They would go through the pain of living in rented accommodations to ensure they lived debt-free lives. They would use all their funds ―  retirement money, family jewels, loan without from friends and family, etc. ― to ensure they do not have to go to a bank to ask for credit. Personally speaking, it is only in a worst-case scenario that my father would agree to take a loan from a bank.

Also read: Gold Versus Real Estate: Which One Is A Better Investment?

We do not think it's a once-in-a-lifetime investment

The generation preceding us used all its might to collect every penny it could and bought a house it could afford. After that, there was hardly any chance of them selling the property to buy another. In most cases, if one could afford a second property, they would still stick with the first one. In short, our fathers and grandfathers attached more sentimental value to property. This emotional approach could also help explain the relatively slow movement of property markets in the old times. It is not the same with us. We are always looking forward to moving to greener pastures. If I find a better property five years after I bought my first home and can afford it, I and most people of my age would not hesitate even for a second to grab it.

Also read: Going Home Shopping? Doing Everything Yourself May Not Be A Good Idea

We don't think sticking close to the ground is necessary

My father lives in a house which he built on a plot. No doubt, it is far bigger than my 2BHK apartment! Every time he visits me, he makes his displeasure about my purchase decision known — he says and I quote, “a house hanging in the air is no house at all”.

The only way I can establish my reputation as a smart investor in my father's eyes is by purchasing a plot and constructing a house on it. The only problem is, I do not share his thoughts on the subject. Why would I worry myself with arranging safety measures when I live in a housing project that offers me 24x7 security? Why would I go out to do some physical exercises when my housing complex offers me a gymnasium, a swimming pool, a badminton court, etc.? I may have to be content with smaller spaces, but then again, I do not have to maintain bigger spaces in my busy live.

Disclaimer: Views expressed are personal.