Own your Dream Home for FREE!

📈 Want to own a house without paying a single rupee from your pocket? The power of mutual fund investing can turn this dream into reality. Let’s break it down with a realistic case study and a step-by-step approach to achieving your financial goal.

Buying a ₹50 Lakh House with Mutual Funds

Step 1: Define Your Goal

A decent home in an urban area costs around ₹50 lakh today. Assuming a price appreciation of 7% per annum, the same house may cost ₹1 crore in 10 years.

Step 2: Start an SIP in Mutual Funds

To accumulate ₹1 crore in 10 years, assuming a 12% annual return, you need to invest approximately ₹35,000 per month in equity mutual funds.

Step 3: Power of Compounding at Work

Year
Investment (₹)
Portfolio Value (₹) (12% Return)
1
4,20,000
4,71,000
5
21,00,000
31,68,000
10
42,00,000
1,00,00,000

Step 4: Buy Your Dream Home for Free!
Once your mutual fund investment reaches ₹1 crore, you can:
✅ Withdraw profits and use them as a down payment
✅ Opt for a home loan while letting your SIP continue
✅ Use SWP (Systematic Withdrawal Plan) to pay EMIs
Why This Strategy Works?
✔️ Equity Mutual Funds Beat Inflation
✔️ Compounding Multiplies Your Wealth
✔️ Tax Benefits on Long-Term Investments
✔️ Passive Income via SWP Covers Loan EMI
Conclusion: Invest Smart, Own a Home for Free!
With long-term discipline and smart mutual fund investments, you can buy your dream house without financial burden. Start investing today and let your money work for you!
🔔 Want personalized investment advice? Contact a certified mutual fund distributor to plan your financial freedom.

Also Read:
Power of SIP, Power of SWP

Comments

Anandan ThangavelFebruary 20, 2025 at 9:22 AM
Interesting formula.
ReplyDelete
Replies
KumaranMarch 16, 2025 at 9:38 AM
It's nice formulation to catch up our financial improvement
ReplyDelete
Replies
Sudha SriramMarch 24, 2025 at 1:34 PM
Wow! Thank you so much for sharing these insights!
ReplyDelete
Replies

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