In my opinion buying would be the better answer since you will get all the benefits that have been stated
prior to my answer, plus you get to deduct the mortgage interest on your Federal Income Tax and you wil
be earning equity for your future.
Associate Broker, Las Cruces, NM
But keep in mind there are many factors to consider and each person's situation varies in a way that you have to decide what is best for you.
Like Bill said there is no magic formula.
Remember your home is an investment, Much the same as stocks, your home will appreciate and depreciate in value.
Before suggesting to keep the home or rent I would need more information from you.
Currently rental prices are at a premium
In our market because of supply and demand.
If you would more information on your question, Please feel free to contact me at email@example.com or 575-635-3665.
When you rent there is no return on your money, your just paying for someone elses mortgage.
If you should fall ill or lose your job, you will be out of your rental in as little as 60days.
You cannot decide to sell your rental and make money
You cannot fight to stay in your rental because you lack the money and want to renegoiate the interest rate
You cannot get a tax credit on your rental.
You cannot change or improve the living space unless you get permission from the landlord.
You cannot change the structure of the rental or put up a fence or take one down.
If you buy a home you can do all of the above. You can earn equity in a home, You can make repairs and improvements to increase the value of your home. You can paint, put up a fence, get a dog, add a garage if you want to, and the list goes on.
All the best
Dave & Lisa
Here are a few handy calculators to help you decide if buying a home is more beneficial than renting. Hope this helps!
This a questions asked many times in todays market. I have found that Ginne Mac has a good calculator that works.
That link will take you to the site, enter in the data and see your results.
There are other factors you would look at too, but they are numerous to discuss online. If you want, contact me, and ill be happy to discuss them with you. But def try out the site :-)
Adam DiFrancesco, e-Pro,GREEN,SFR
Lic. Associate Broker NY
Lic. Sales Person NJ
Coldwell Banker Residential Brokerage
There is no such creature as a "rent v buy formula." But if you can buy a home and pay the annual taxes for less than your annual rent, wouldn't it make sense that buying would be a viable consideration.
But then how would you factor in ownership, quality of life, additional space, having a yard, investment potential, etc.
We recommend reviewing your monthly budget, accounting for all income and expenses. By being realistic and really crunching the numbers, you should come to a clear understanding of what it's going to cost you to live and pay for a home.
Once this is done, pay a visit to several loan agents to see what amount, program, and rates you qualify for. Basing your decision on real numbers that apply to you will help you to see the way....