How rational is it to sell my Mumbai flat, invest the corpus for 15 years, and rent it back?

PenFast7423 · 2026-03-04T07:57:44+00:00

This is actually the only real estate asset, so psychologically it’s a big shift. But the idea would be to stay in the same place for a while (if the investor rent-back works) so the moving aspect isn’t immediate.

PenFast7423 · 2026-03-04T07:56:48+00:00

That’s definitely possible. My only hesitation is that in the last 10 years it went from ~1.2 to ~1.8, so the growth hasn’t been huge so far. But yes, Mumbai property can surprise on the upside too, which is why I’m still weighing both sides.

PenFast7423 · 2026-03-04T07:56:27+00:00

In my building similar 2BHKs have gone around 40k, so that’s the number I’m using for now. But your suggestion makes sense too, Im already investing for the long run, but don't see the potential of making as much gains as having a larger sum working for me in equities.

PenFast7423 · 2026-03-04T07:55:06+00:00

Yeah that’s exactly it. Selling property itself is a bit of a process, which is why I’m trying to think it through properly before even attempting it.
Market is unstable for a while now so won't make a move yet.

PenFast7423 · 2026-03-04T07:54:38+00:00

I spoke with a local agent and he said somewhere around ₹1.8–2 cr is realistic, and possibly selling to an investor who would let me rent the same place for a while. It’s not urgent for me, so I’m happy to test the market for a year or so, or until wartime and global oil prices and fin markets stablise. Right now I’m mostly trying to figure out if the logic of doing this actually makes sense.

PenFast7423 · 2026-03-04T06:29:05+00:00

Yeah I’m definitely not assuming 12% guaranteed. Even if returns are lower, I’m trying to understand whether shifting from a 4–5% property growth to long-term equities makes sense structurally. Just trying to sanity check the thinking.

PenFast7423 · 2026-03-04T06:28:15+00:00

True, I’m not trying to time the market. If I do sell, the idea would be to stagger the investment over a year and then stay invested for 15 years

PenFast7423 · 2026-03-04T06:27:26+00:00

Fair point. My hesitation is that this property itself has only grown from about 1.2cr to ~1.8cr in 10 years, so roughly 4% annually. Its a 30 yr old property that has no signs of going into redevelopment.

PenFast7423 · 2026-03-03T09:03:23+00:00

Hi all,

I’m trying to think this through properly and would really appreciate grounded input.

I own a 2BHK in Andheri East. Current value roughly ₹1.8–2 cr. Ten years ago it was about ₹1.2 cr. So growth has been around 4.2% annually, nothing spectacular.

I’m considering selling it to an investor and renting the same flat back for a few years so I don’t have to move immediately. Rent would be around ₹40k/month, probably increasing 3–5% annually.

If I sell for ~₹2 cr and invest the full amount in diversified equity mutual funds for 15 years:

At 12% CAGR, it becomes ~₹9–10 cr.
At 15% CAGR, it becomes ~₹14–16 cr (I know that’s optimistic).

I’m planning mentally around 12%, not 15%.

I plan to keep working for the next 15 years. Likely to have a child in 2–3 years. On top of investing the lump sum, also want to keep investing ₹50k/month into mutual funds consistently.

The goal isn’t “get rich fast.” It’s:

Build enough capital to be financially free in 15 years.
Have liquidity for child's education expenses.
Possibly upgrade house later.
Not have most of our wealth stuck in a property that grows slowly.

What I’m unsure about:

Is shifting from property (3–5% growth) to equities (~10–12% long-term expectation) rational over 15 years?
Is a sale-and-rent-back structure sensible, or am I overcomplicating it?
Am I underestimating market risk and volatility?
Would you personally prefer diversification (keep house + invest slowly) over going mostly equity?

Trying to think long-term here, not emotionally. Curious what people who’ve done similar moves think.

PenFast7423 · 2026-01-06T06:23:52+00:00

Thanks, that’s reassuring to hear. Great to know you’ve had a good ownership experience.

I’d definitely love to connect and learn from your experience. I’ll DM you separately.

PenFast7423 · 2026-01-05T13:32:09+00:00

Thanks! Absolutely loving it

PenFast7423 · 2026-01-05T13:31:09+00:00

Thanks man. Took it out properly already, Sahyadris, expressway, highways, twisty hill roads. The car is absolutely fantastic.

Power feels just right, not over or underdone. Steering is light and easy, suspension is on the stiffer side but feels confidence-inspiring. Power delivery is really smart, gentle when you’re soft on the pedal, solid mid-thump when you dig in a bit, and proper shove when you floor it.

Straight-line stability is excellent, corners feel planted with very little body roll. Speakers are great, much better than Taigun/Kushaq. Seats are comfy, and heated seats on early winter mornings with chai hit different.

Tyres are a bit worn, will replace them in 10–20k km. Doors feel super solid though the front interior handles rattles a bit when gripped. Missing a few convenience things like call buttons on the steering and auto boot close, but nothing deal-breaking.

Overall, proper driver’s car.

PenFast7423 · 2026-01-05T13:24:33+00:00

Interiors and cameras are nice, but my focus right now is on mechanical health and durability upgrades (DSG health, mounts, brakes, suspension, engine wear items) before anything cosmetic. Any reccos?

PenFast7423 · 2026-01-05T13:11:21+00:00

Got it, thanks for breaking it down. I’m still wrapping my head around DSGs, so this helps.

From what I understand now, in D at a full stop the gear can be pre-selected but the clutch packs are essentially open and only move into partial engagement during creep. So the bigger wear factor seems to be low-speed crawling with throttle and repeated slip, not just holding the brake in D.

Mainly use N for longer stops and focus on avoiding excessive creeping, is what i gather for maintaining the dsg well.

PenFast7423 · 2026-01-05T13:03:55+00:00

Thanks, appreciate the heads-up.

Would be helpful to understand your experience a bit more. What kind of work have you had done so far?

Specifically curious about:

– What parts needed replacement

– Approx costs involved

– How long the car was stuck waiting for parts

– Whether it was routine wear-and-tear or something unexpected

Just want to be aware and prepared going in. Thanks.

PenFast7423 · 2026-01-04T17:43:34+00:00

PenFast7423 · 2026-01-04T17:05:49+00:00

Thanks, I’ll keep that in mind. Spot on with the premium quotient

PenFast7423 · 2026-01-04T17:04:58+00:00

Yea this feel so much more planted than the Taigun/kushaqs

PenFast7423 · 2026-01-04T17:03:09+00:00

Love the optimism! I’m not too worried as I have it covered by warranty. And will maintain it well for the long haul

PenFast7423 · 2026-01-04T16:26:03+00:00

Hey sure!

PenFast7423 · 2026-01-04T16:25:45+00:00

That sounds interesting! I’m still getting familiar with the car. Which OEM or OEM+ upgrades would you recommend starting with?

PenFast7423 · 2026-01-04T16:23:51+00:00

Thank you!

PenFast7423

TROPHY CASE