India, Feb. 7 -- As Bengaluru's residential property prices continue to rise, the decision to buy a home is becoming increasingly complex, especially for younger households grappling with higher costs, loan commitments and long-term financial security. It raises a key question: should buyers stretch themselves by committing nearly 60% of their household income to EMIs, or stick to the conventional thumb rule that caps EMIs at 30-40% of take-home pay?

This dilemma came into focus after a 28-year-old Bengaluru resident shared her situation on Reddit. She said she and her 30-year-old husband earn a combined monthly income of about Rs.2 lakh and have finalised a plot-and-construction property priced at Rs.1.8 crore. With a down payment of Rs...