Seema and Rajiv Mathur, a Dual-income, no-kids (DINK) couple in New Delhi, are both working professionals. Despite their high dual income, they prefer to rent rather than buy property. They value mobility and freedom. They also invest their savings in mutual funds and Systematic Investment Plans (SIPs). They simply avoid the big financial and emotional commitment of homeownership.
In contrast, Roliee Anshuman and her husband, a dual-income with kids (DIWK) couple in Gurugram, prioritise buying a home. They want to create a stable family environment. They also see property as a long-term investment, despite the financial strain of EMIs (Equated Monthly Installments). Their main goal is to provide space and security for their family. This focus on security highlights a broader trend.
The paradox: Why DINKs choose renting
DINK couples typically find it easier to afford a home. They have higher disposable income, lower financial stress, and can save money faster. Paradoxically, they are less likely to buy homes than DIWK couples. DIWKs focus on ownership despite carrying more financial burdens.
DINK couples clearly have a higher average household income. They can save almost twice as much each month. This ability, in theory, gives them a stronger position to afford a home.
“Despite the financial edge, DIWKs are more likely to buy homes,” says Madhupam Krishna, a Sebi (Securities and Exchange Board of India) registered investment advisor. “They seek stability, space, and long-term wealth-building. This is true even if they must stretch their budgets. DINKs may postpone buying. They favour flexibility, mobility, or spending on experiences and savings.”
Abhishek Kumar, founder of SahajMoney, advises couples: “Regardless of your family setup, always prioritise saving for retirement over an early home purchase. Only buy a home if you plan to stay in one place for at least five years. Otherwise, renting allows you greater investment freedom.”
To buy or rent? Making the prudent choice
In expensive cities like Delhi-NCR and Mumbai, renting is often the smarter financial move for DINK couples focused on wealth creation. Renting offers lower upfront costs and greater investment flexibility. It also allows them to benefit from the growing returns on their investments.
“Many financial models show that renters in Mumbai/Delhi who carefully invest their ‘saved’ funds can accumulate 50% more wealth over 30 years compared to buyers,” Krishna notes. This difference holds true even after decades of paying rent.
Rental yields (the income from rent versus the home price) in these major cities are low, only 2–2.5% of a home’s price. Property price growth often fails to match the returns from mutual funds or equity SIPs.
For DINK couples in high-cost cities, renting is usually better for wealth creation and career freedom. However, some couples prioritise buying. They want long-term family stability and the ability to personalise their space. This choice may result in slower overall wealth growth and fewer liquid assets.
If your priority is building wealth by investing in products with high returns (but also higher risk), then renting might be better than buying a house early in your career.
Home affordability decoded
“However, families who need stability or are dealing with fast-rising rents may benefit from buying a house,” says Kumar. “Homeownership provides protection against rent hikes.”
For DINK couples, a good solution might be to buy a smaller 1BHK or 2BHK apartment, costing between ₹50 to ₹80 lakh. This choice strikes a balance between ownership goals and savings. They can then invest their extra money into mutual fund SIPs to continue creating wealth.
For DIWK couples, it is best to allocate a maximum of 40% of their monthly income to home loan EMIs. This is for purchasing a larger 3BHK or 4BHK home near good schools. This means a higher budget, potentially. from ₹1 crore to ₹5 crore in metros like Delhi, Mumbai or Bengaluru.
Following the 40% EMI rule, to afford a ₹1 crore apartment at an 8% interest rate, a couple needs to earn at least ₹1.77 lakh per month. To afford a ₹2 crore house, they need ₹3.55 lakh per month. Families expecting multiple children or living in expensive cities should always plan for a financial buffer.
Anagh Pal is a personal finance expert who writes on real estate, tax, insurance, mutual funds and other topics