Should I take a home loan or invest through mutual fund SIPs

There is no straight answer to your query as we do not know your current financial situation, investment objectives or future financial plans etc. We also do not know if you own a house already or living on rent?

Therefore, our simple suggestion would be as follows -

1. If you do not own a house, then taking a home loan and have your own house as soon as possible is suggested as you or your family may not like to continue to live in a rented premises even after your retirement.

2. If you already own a house, then nothing can be better than investing through mutual fund SIPs. As your investment horizon is 10 years you can invest in diversified equity funds like, Birla Sun Life Advantage Fund, SBI Magnum Multi-cap Fund, DSP BlackRock Opportunities Fund and Mirae Asset India Opportunities Fund through monthly SIPs.

With Rs 20,000 monthly SIP investments, you can expect to have a corpus of Rs 47 Lakhs after 10 years against your investment of Rs 24 Lakhs (this is based on assumption of annual 12% return).

Thanks for writing to Advisorkhoj.