In Short
- Home buying is becoming a nightmare for many Indians
- Families pay rent and EMIs for undelivered homes
- No EMI till possession schemes pose hidden risks
Buying a home has long been a dream for many Indians. But today, that dream is becoming a nightmare for thousands of families, says CA Meenal Goel.
She wrote on LinkedIn, “Buying your own home is no longer a dream but a nightmare,” highlighting the growing difficulties faced by homebuyers across the country.
Many families are now paying both rent and EMIs for homes they may never receive. One Reddit post shared a shocking example: “My friend pays Rs 45,000 rent plus Rs 32,000 EMI every month, for a house she may never get,” it said.
The trouble often starts with schemes like “No EMI till possession.” Goel said, “On the surface, it seems safe. Pay 10% upfront, bank releases 80% of the loan and builder promises to cover EMIs for 2–3 years.”
But, as she points out, these schemes can be risky. “The loan is in your name, not the builder’s. If they default, the bank still comes after you, even if the house is never delivered. Miss an EMI? Your credit score takes a hit,” she explains.
The scale of the problem is alarming. “5.08 lakh stalled housing units across 42 cities, up 9% since 2018. Tier-1 cities like Mumbai, Noida, Gurugram, Thane, and Greater Noida are worst affected,” mentioned Goel.
Many families booked their homes years ago, when their children were in school. Today, those children are in college, yet the houses remain under construction.
The government has tried to step in through the SWAMIH (Special Window for Affordable and Mid-Income Housing) Fund, which has delivered around 50,000 homes and expects another 40,000 by 2025. But Goel warns, “That’s less than 20% of the mess.”
She says the crisis is not just about real estate, it reflects a systemic failure of project financing and regulatory oversight. Subvention schemes like “No EMI till possession” need urgent reforms to prevent buyers from being trapped.
Goel concluded by saying that buying a home today is no longer a simple dream and can may turn into a financial nightmare if buyers are not cautious.
