After conducting a quantitative analysis using time value techniques, Naresh Jain had to make a decision between buying and renting an apartment. He considered the costs of home ownership, including the down payment, stamp duty and other charges, property taxes, and other expenses. He also took into account the tax benefits on a home loan provided under India’s Income Tax Act. Jain modeled a conservative 7% per year appreciation in housing prices over the next 20 years in his base case scenario. Ultimately, Jain decided to buy the apartment, taking advantage of the tax benefits and potential future capital gains.