Honest math on renting + investing vs buying. Accounts for property tax, maintenance, and opportunity cost.
Purchase price of the home
Percentage paid upfront
Annual mortgage interest rate
Annual property tax rate
Annual homeowners insurance cost
Annual maintenance cost as % of home value. 1% is standard.
Current monthly rent payment
Expected yearly rent increase
Expected annual return on invested savings
How long you plan to stay
Monthly homeowners association fees
Upfront costs when purchasing (appraisal, title, etc.)
Costs when selling (agent fees, transfer tax, etc.)
Expected annual home value increase
Monthly private mortgage insurance if down payment < 20%
Your marginal tax rate if you itemize deductions
| Label | Lower Path | Renter Advantage |
|---|---|---|
| 1 | 70,857 | 40,412 |
| 2 | 86,291 | 45,376 |
| 3 | 102,330 | 50,946 |
| 4 | 119,001 | 57,181 |
| 5 | 136,332 | 64,145 |
| 6 | 154,354 | 71,905 |
| 7 | 173,101 | 80,539 |
| 8 | 192,604 | 90,128 |
| 9 | 212,901 | 100,763 |
| 10 | 234,029 | 112,539 |