If I take a loan for 1.000,000 and try to pay it in five years, I'll have to pay approx 20000 as EMI. My uncle tells me to keep the tenure as 20 years (with interest rate at 10%), and my EMI will be just 7000. He says it's an advantage because due to the rate of inflation being about 7%, the value of this 7000 will be very less in 10 or 20 years time, and will be a much better option than trying to pay it off in 5 years. Is it really better?
[this is in India, where the house prices are rising]