Buying Versus Renting

 

Buying

Renting

Do you realize how much you pay in rent over a period of years? In addition to the monthly payment you should figure in the amount you would have accumulated had you invested your payments and earned 10 percent interest. This gives you a total picture of what's happening to your money. The rent you pay adds up to a sizeable sum.

On the chart below, find your per month rental payment and you can determine how much money you are "giving away" in rent and interest over 5, 10, 15, 20 or 30 years. money which could be used to build equity in your own real estate!
You will have a great tax write-off. You have no tax write-off.
Your housing expense may never go up Your rent can go up at anytime.
You can use, decorate, make physical changes and enjoy your home as you see fit. You must get permission to make any changes to your dwelling.
You may build a large equity as your home appreciates in value. You have no equity to build up. Your money is gone for good.
You are not at the mercy of a landlord. You can be evicted for being late on one month's rent.
Your house will become a home, not a temporary living situation. Your living situation is always temporary and usually subject to a 30-day notice.
 

 

RENT ACCUMULATION TABLE

TOTAL RENT PAID IN:

If monthly Rent is

1 Year

2 Years

 3 Years 5 Years 7 Years 10 Years 20 Years
700.00 8400 16800 25200 42000 58800 84000 168000
800.00 9600 19200 28800 48000 67200 96000 192000
900.00 10800 21600 32400 54000 75600 108000 216000
1000.00 12000 24000 36000 60000 84000 120000 240000
1200.00 14400 28800 43200 72000 100800 144000 288000
1400.00 16800 33600 50400 84000 117600 168000 336000
1600.00 19200 38400 57600 96000 134400 192000 384000
1800.00 21600 43200 64800 108000 151200 216000 432000
2000.00 24000 48000 72000 120000 168000 240000 480000
2200.00 26400 52800 79200 132000 184800 264000 528000

Need more information?

Click here