Home  back Investment Calcs  Loans(car, boat, etc)  Mortgage  Savings  Retirement Calculators

Renting Versus Buying a House

This form allows you to compare renting versus buying by entering how much you want to spend a month and how much down you would put into your house. Note that I am not a financial expert, just a computer geek with just enough financial knowledge to be really dangerous.

Change these fields as desired:

How much you want to spend each month
How much down (invested if renting)
Current Annual Interest Rate
Length of Loan (Years)
Expected Long Term Inflation (%)
Expected Long Term Investment Return (%)
Expected Long Term Tax Rate (%)
Expected total maintenance costs  associated with home
ownership during the entire length of the loan - indicated
as a percentage of the future value of the home (%). Use
a larger percentage for a home requiring extensive work.
Note: this is an extremely simplified analysis.   We did not subtract potential increases in the monthly rental payment based on inflation from the renting equity total.  Also, the estimated total maintenance costs is a very rough estimate based on the future value of the house.  Projected home maintenance costs include all potential repairs during the period of home ownership. 

Also, the growth in home equity was based on the rate of inflation.  Home values may increase at a much lower overall rate compared to inflation. Future updates to this program will allow more precise control over projected increases in home equity. In the meantime, select a lower rate of inflation in order to lower the growth in home equity.
Disclaimer: All material provided within this website is for informational and educational purposes only, and in no way is any of the content on this website to be construed as financial advice or instruction. No action should be taken solely on the contents of this publication. We do not assume any liability for the information contained herein, be it direct, indirect, consequential, special, exemplary, or other damages.  See the website disclaimer for additional info.
Contact . Privacy PolicyDisclaimer

Copyright  2009 GlobalRPh Inc.