Instructions
Enter estimated Rent, Home Purchase, and Financial Information. This calculator analyzes the total cost to rent versus the total cost to own. To estimate taxes, insurance, and maintenance, select appropriate box. Not all calculated values are displayed. Home appreciation and rent increase values vary by area.
Rent Information
700 Monthly Rent($)
15 Monthly Insurance($)
4 Annual Rent Increase(%)
Home Purchase
200,000 Home Value($)
1250 Yearly Taxes($)
750 Yearly Maintenance($)
600 Yearly Insurance($)
5 Appreciation(%)
Financial Info
160,000 Loan Amount($)
6 Interest Rate
30 Term in Years
1.000 Loan Points(%)
2000 Loan Costs($)
5 Years Before Sell
7 Selling Costs(%)
3 Annual Savings Rate
38 Tax Rate(%)
() Single () Joint Filing Status
Results
Rent Analysis
Years to Rent: 5
Total Rent and Insurance: $46,550
House Purchase Equivalent: $140,588
Home Analysis
Monthly Mortgage Payment (PI): $959.28
House Appreciation Value: $255,256
Proceeds Minus Costs: $237,388
Loan Balance: $148,887
Equity Appreciation: $48,501
Home Ownership Analysis
Mortgage Payments: $57,557
Taxes and Insurance: $6,250
Maintenance: $3,750
Tax Savings: $8,244
Ownership Investment: $55,563
Rent vs Buy Analysis
Monthly Rent Savings: $150.22
Total Rent Savings: $11,845
Home Purchase Benefit: $36,656
Explanation
A positive/negative Home Purchase Benefit indicates the financial advantage/disadvantage of owning your own home. Various intangible factors can be analyzed in this decision such as relocation possibilities, pride of ownership, improved lifestyle, etc.
These calculations are only estimates and can only be used to evaluate the possible results of consolidating certain debts into an equity loan. Refinancing or taking out a home equity loan or line of credit may increase the total number of monthly payments and the total amount paid when comparing to your current situation. Please consult your tax advisor for information on the deductibility if interest for tax purposes.