Rental income some advantages and some disadvantages in India. Currently I have two rental 2 BHK flat in my home town. Which give me around INR 10,000 per month as a passive income.


  • Rental property always in demands in town area
  • In India most of the house owners do not pay income taxes for the income from renting of property especially houses but they will get a housing loan to build them for the tax exemption ( a hypocrisy)
  • The value of the building depreciates with time but land and the rent increases over time
  • You are having your own home and you can do almost anything with it
  • it is like someone giving salary without having to work
  • The number of hours you need spend for is nearly negligible like having a hobby or watering a garden plant


  • You can’t reap immediate income as soon as the house is completed
  • it can’t be the sole source of income
  • Having non complaining good tenant is a bliss
  • Having a non complaining neighbours is a bliss
  • If you are frequently transferred to other places it is difficult to manage
  • Getting rent on time may be problematic
  • Dealing with house brokers needs courage
  • If a tenant is not good it is a pain in ass
  • Making a tenant leave needs lot of experience and it is not for light hearted
  • You should be a good negotiator to have maximum rent

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