Rent or Buy?

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Purchase Assumptions
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Cumulative Costs of Renting and Buying
Depending on how fast prices and rents rise and how long you stay in your home, you may be better off renting rather than buying. Factors that are part of the equation are the difference in monthly rent versus mortgage payment, home value appreciation, annual rent increases, the interest rate you will pay on your loan, your marginal tax rate and the yield you might receive on savings. When looking at these factors, consider the present value of each option. The one with the lower present value will be the better financial choice.

The information provided by Fintactix's Tools and Content is for illustrative and educational purposes only. The default figures and examples shown are hypothetical and may not be applicable to your individual situation. Be sure to consult a financial professional prior to relying on the results or recommendations made by Fintactix content or calculations. The calculated results are intended for illustrative purposes only and accuracy is not guaranteed. Furthermore, these calculations may not reflect the terms available for any loan, investment or other financial product that may be available at the Licensee website where you use them.