Is Interest Really that high?

Rent vs. Buy: What Makes More Sense Over 5 Years?

If you're on the fence about renting versus buying a home, you're not alone. Let’s break it down using real numbers from a realistic scenario:

• Monthly Rent: $2,500

• Home Purchase Price: $300,000

• Interest Rate: 5.5% fixed

• Loan Term: 30 years

• Down Payment: 5% ($15,000)

? Monthly Cost to Own

With a mortgage, taxes, and insurance, your total monthly payment would be about $2,119—less than renting the same home!

? 5-Year Comparison

Equity Is the Game-Changer

After just 5 years:

• You've paid down $28,601 in loan principal.

• Your home may appreciate to around $345,000 with a modest 3% annual increase.

• That gives you over $73K in equity—money in your pocket if you decide to sell or refinance.

? Key Takeaways

• Renting may feel “easier,” but it’s a 100% expense with no return.

• Buying builds equity and offers long-term financial advantages.

• Even after just 5 years, buying a $300,000 home can save you tens of thousands compared to renting.

Thinking About Buying?

If you’re ready to explore your options or need help deciding if buying is right for you, I’m here to help. Let’s run the numbers together based on your real-life situation. I can help you choose financing that works best for you then walk you through the whole process.

? Call/Text me today and let’s chat!