by Tina Barton | info@thebartongroupaz.com |  480.242.3079

When looking to buy a home there are many things to consider besides just the size of a home. Home amenities, school district and desirable neighborhoods also play a big part in your decision.

 

 

What  many people may not realize this that there is a cost for waiting to purchase a home. Many people believe that renting little longer will not only allow you time to find that perfect home but will also save you money. Let's take a look at the numbers and see that this is not always the case.

 

Renting A Home  
Monthly Rent:  $1400
Renter's Insurance: $20
Expected Annual Rent Increase: 2%
Buying a Home  
Purchase Price of a Home: $250,000
Mortgage of Home Loan: $225,000
Interest Rate on Loan: 4.25%
Term of the Loan: 30 yr.
Closing Costs: $4,500
Down Payment: 10%
P&I: $1,106.86
APR: 4.753
Home Ownership Assumptions  
Years Before Selling: 6 yr
Home Appreciation Rate: 4%
Cost to Sell a Home: 6%
Federal/State Income Tax Rates 25%
Net Benefit:  $89,569.11

If you are currently renting a home for $1400 a month and that home is worth $250K, by owning that home for six years your net benefit would be approximately 89, 569.11

If you would like to discuss more, please contact us at  info@thebartongroupaz.com  or call (480) 252-3079.  Look forward to hearing from you soon.