Creekview Mortgage Inc.

Phone: 801-562-5322

Rent Vs Own Calculator

Should you buy a home or continue renting? Our Rent vs. Own Calculator will analyze your situation and give you some guidance.

Financial Information

Tax Rate:	%
Investment Rate *:	%

* The investment rate calculates the difference between your mortgage payments and rental payments and assumes that you are earning that rate on your investments.

Buying Analysis

Based on the information provided for a 5 year period

You will pay a monthly PI (Principal and Interest) payment of:	$	880.52
You will gain a tax advantage of:	$	13,136.17
You will gain an equity appreciation of:	$	36,855.28
Totaling a net value gain of:	$	49,991.44
Selling the home in 5 years will incur closing costs of:	$	4,977.50
Giving you a total net benefit of ownership of:	$	45,013.94

Rental Analysis

Based on the information provided for a 5 year period

If you chose to buy you would have paid home buying expenses of:	$	880.52
You will gain a tax advantage of:	$	52,831.50
You will pay rental expenses of:	$	46,397.11
Giving a difference of:	$	6,433.94
Investing the average yearly difference of $ 1,286.79 for 5 years at %8 yields:	$	8,152.10
Selling the home in 5 years will incur closing costs of:	$	4,977.50
Giving you a total net benefit of ownership of:	$	45,013.94

Final Analysis

Because your Total Benefit of Ownership of $45,013.94 is GREATER than your investment yield of $8,152.10, it would be in your best interest to BUY this home rather than to RENT it.

The results shown above should be used only for informational purposes. The accuracy of these results is not guaranteed. If you seek additional help or explanation, please refer to your loan officer.

7370 South Creek Road Suite #103, Sandy, UT 84093 Phone: 801-562-5322 Ext: 105 Fax: 801-562-5366