Background: Aging is a universal process that often leads to shifts in living arrangements, such as moving to old age homes due to urbanisation and changing family structures. Objective: To compare functional mobility, cognitive function, and quality of life (QoL) between community-dwelling and institutionalised elderly in a suburban area. Methods: A cross-sectional study was conducted with 66 participants (aged 65+) from Thane City. Assessment tools included the Elderly Mobility Scale (EMS), Mini-Mental State Examination (MMSE), and SF-12 form. Results:Institutionalised elderly showed significantly higher rates of mobility dependency (72.7%) compared to community-dwelling elderly (36.4%, p=0.012). Severe cognitive impairment was also more prevalent in old age homes (66.7%) than in those living with family (42.4%, p=0.043). Quality of life was markedly lower in the institutionalised group (81.8% below average) compared to the community group (p=0.013). Conclusion: Elderly individuals living with family experience better physical, cognitive, and emotional well-being compared to those in institutional care.