- Bombay Shaving Company founder Shantanu Deshpande revealed in a podcast why he opts to rent rather than buy a house.
- Deshpande pays a monthly rent of over Rs 1.5 lakh for his prime location residence in Gurgaon, which he finds more financially viable than purchasing.
- He believes investing in the public market offers better liquidity and returns compared to owning a fixed asset like a house.
In a recent podcast discussion with real estate entrepreneur Ajitesh Korupulu, Shantanu Deshpande, the founder of Bombay Shaving Company, shared insights into his housing choices. Despite his success, Deshpande revealed that he prefers renting over buying a house, citing financial reasons. He explained that he pays a hefty monthly rent of over Rs 1.5 lakh for his residence in Gurgaon, finding it more economically feasible than purchasing a property.
Deshpande countered the notion that paying rent leads to no asset creation, highlighting the exorbitant cost of purchasing a similar property. He emphasized that the math didn’t add up for him, especially considering the substantial loan EMIs he would incur. Instead, he prefers to invest in the public market, where liquidity is better and returns are potentially higher. Deshpande also noted the freedom and flexibility renting offers, particularly in terms of mobility and financial commitment, compared to the constraints of homeownership.
Overall, Deshpande’s perspective challenges the conventional wisdom of homeownership as a wealth-building strategy, showcasing the advantages he finds in renting and investing elsewhere.
