RENT VS BUY EXAMPLE CALCUALATIONS

For Example only: Based on the Following: $450 000 purchase at 2% interest VS Rent for $1900 per month. (this does not take into consideration a mortgage penalty and assume you may port the mortgage. Again an example only)

Should you rent or should you buy your home? It takes more than looking at your mortgage payment to answer this question. The first steps in buying a house are ensuring you can afford to place at least 5% of the purchase price of the home as a down payment and determining your budget. This calculator helps you weed through the fees, taxes and monthly payments to help you make a good financial decision. Visit www.houseinaminute.com to search for homes!

Your home purchase breaks even in approximately 1.8 years.

Your home purchase breaks even in approximately 1.8 years.

This is based on your home's equity minus a 4% sales commission paid to brokers or real estate agents when you sell your home. It also assumes your home will appreciate at 3% per year and that the rate of interest over the amortization period will not change. If you cannot remain in your home for at least 1.8 years you should consider continuing to rent.

Home Equity vs. Investment

We calculated your break even point by examining how long it would take to create enough equity in your home to exceed the value of investing your cash on hand. We also accounted for differences in your monthly rent and house payments. If your rent payment is less than your net house payment, we add that monthly savings to your investment. If your house payment is less than your rent payment we subtract that amount from your investment. You may notice that on the schedule at the bottom of this report the investment value can be reported as negative. This happens if your house payment is significantly lower than your rent payment. It illustrates that if you continue to rent the extra cost of renting would, in effect, use up your cash on hand.

Results are based on: (i) the assumption that the rate of interest does not change from the current rate for the entire amortization period, (ii) other assumptions, such as the heating costs for your home, and (iii) information that you provided. We do not guarantee the calculations. Some restrictions may apply.

Estimated Loan Information

With a total payment of $2,225.89 per month and a down payment of $33,500* you could purchase a home with a price of $450,000. This is for a 25 year mortgage at 2% in the amount of $433,160. Total closing costs for this loan are estimated at $18,160.00.

Your current monthly rent is $1,900. The expected inflation rate of 3% annually was used to estimate future rent. The rate of return for investments was entered at 7% after taxes.

Monthly Payment BreakdowYour $2,225.89 monthly payment consists of:

Principal and interest	$1,834.22
Taxes	$391.67
Maintenance/Condo fees	$0.00

Closing costs estimate of $18,160.00 consists of:
Mortgage insurance premium at 4% of loan**	$16,660**
Net GST (new homes only)***	$0***
Mortgage fees	$150
Other closing costs	$1,350

Nbr	House Payment	Rent Payment	Value of Investment	Home Equity
1	$2,225.89	$1,900.00	$35,524	$1,035
2	$2,225.89	$1,900.00	$36,051	$3,232
3	$2,225.89	$1,900.00	$36,580	$5,431
4	$2,225.89	$1,900.00	$37,113	$7,632
5	$2,225.89	$1,900.00	$37,649	$9,835
6	$2,225.89	$1,900.00	$38,187	$12,039
7	$2,225.89	$1,900.00	$38,729	$14,246
8	$2,225.89	$1,900.00	$39,274	$16,454
9	$2,225.89	$1,900.00	$39,822	$18,664
10	$2,225.89	$1,900.00	$40,373	$20,876
11	$2,225.89	$1,900.00	$40,927	$23,090
12	$2,225.89	$1,900.00	$41,485	$25,306
13	$2,237.64	$1,957.00	$42,000	$27,556
14	$2,237.64	$1,957.00	$42,518	$29,808
15	$2,237.64	$1,957.00	$43,039	$32,062
16	$2,237.64	$1,957.00	$43,563	$34,318
17	$2,237.64	$1,957.00	$44,090	$36,576
18	$2,237.64	$1,957.00	$44,620	$38,835
19	$2,237.64	$1,957.00	$45,153	$41,097
20	$2,237.64	$1,957.00	$45,689	$43,360
21	$2,237.64	$1,957.00	$46,228	$45,625
22	$2,237.64	$1,957.00	$46,770	$47,892
23	$2,237.64	$1,957.00	$47,315	$50,162
24	$2,237.64	$1,957.00	$47,863	$52,433
25	$2,249.74	$2,015.71	$48,368	$54,739
26	$2,249.74	$2,015.71	$48,875	$57,047
27	$2,249.74	$2,015.71	$49,385	$59,357
28	$2,249.74	$2,015.71	$49,899	$61,670
29	$2,249.74	$2,015.71	$50,415	$63,984
30	$2,249.74	$2,015.71	$50,934	$66,300
31	$2,249.74	$2,015.71	$51,456	$68,618
32	$2,249.74	$2,015.71	$51,981	$70,937
33	$2,249.74	$2,015.71	$52,509	$73,259
34	$2,249.74	$2,015.71	$53,040	$75,583
35	$2,249.74	$2,015.71	$53,574	$77,909
36	$2,249.74	$2,015.71	$54,111	$80,236
37	$2,262.20	$2,076.18	$54,603	$82,601
38	$2,262.20	$2,076.18	$55,097	$84,967
39	$2,262.20	$2,076.18	$55,595	$87,334
40	$2,262.20	$2,076.18	$56,095	$89,704
41	$2,262.20	$2,076.18	$56,598	$92,076
42	$2,262.20	$2,076.18	$57,104	$94,450
43	$2,262.20	$2,076.18	$57,613	$96,826
44	$2,262.20	$2,076.18	$58,125	$99,204
45	$2,262.20	$2,076.18	$58,640	$101,584
46	$2,262.20	$2,076.18	$59,157	$103,966
47	$2,262.20	$2,076.18	$59,678	$106,349
48	$2,262.20	$2,076.18	$60,201	$108,735
49	$2,275.04	$2,138.47	$60,678	$111,159
50	$2,275.04	$2,138.47	$61,158	$113,584
51	$2,275.04	$2,138.47	$61,640	$116,011
52	$2,275.04	$2,138.47	$62,125	$118,440
53	$2,275.04	$2,138.47	$62,613	$120,872
54	$2,275.04	$2,138.47	$63,104	$123,305
55	$2,275.04	$2,138.47	$63,597	$125,740
56	$2,275.04	$2,138.47	$64,093	$128,177
57	$2,275.04	$2,138.47	$64,592	$130,617
58	$2,275.04	$2,138.47	$65,094	$133,058
59	$2,275.04	$2,138.47	$65,599	$135,502
60	$2,275.04	$2,138.47	$66,106	$137,947
61	$2,288.27	$2,202.62	$66,566	$140,431
62	$2,288.27	$2,202.62	$67,028	$142,917
63	$2,288.27	$2,202.62	$67,492	$145,405
64	$2,288.27	$2,202.62	$67,960	$147,895
65	$2,288.27	$2,202.62	$68,430	$150,387
66	$2,288.27	$2,202.62	$68,902	$152,882
67	$2,288.27	$2,202.62	$69,377	$155,378
68	$2,288.27	$2,202.62	$69,855	$157,876
69	$2,288.27	$2,202.62	$70,336	$160,377
70	$2,288.27	$2,202.62	$70,819	$162,879
71	$2,288.27	$2,202.62	$71,305	$165,384
72	$2,288.27	$2,202.62	$71,794	$167,891
73	$2,301.89	$2,268.70	$72,233	$170,437
74	$2,301.89	$2,268.70	$72,675	$172,985
75	$2,301.89	$2,268.70	$73,119	$175,536
76	$2,301.89	$2,268.70	$73,566	$178,088
77	$2,301.89	$2,268.70	$74,015	$180,643
78	$2,301.89	$2,268.70	$74,466	$183,200
79	$2,301.89	$2,268.70	$74,921	$185,759
80	$2,301.89	$2,268.70	$75,377	$188,320
81	$2,301.89	$2,268.70	$75,837	$190,883
82	$2,301.89	$2,268.70	$76,299	$193,448
83	$2,301.89	$2,268.70	$76,763	$196,015
84	$2,301.89	$2,268.70	$77,231	$198,585
85	$2,315.92	$2,336.76	$77,646	$201,195
86	$2,315.92	$2,336.76	$78,065	$203,807
87	$2,315.92	$2,336.76	$78,485	$206,422
88	$2,315.92	$2,336.76	$78,908	$209,038
89	$2,315.92	$2,336.76	$79,333	$211,657
90	$2,315.92	$2,336.76	$79,761	$214,278
91	$2,315.92	$2,336.76	$80,191	$216,901
92	$2,315.92	$2,336.76	$80,624	$219,526
93	$2,315.92	$2,336.76	$81,059	$222,154
94	$2,315.92	$2,336.76	$81,496	$224,783
95	$2,315.92	$2,336.76	$81,936	$227,415
96	$2,315.92	$2,336.76	$82,379	$230,049
97	$2,330.37	$2,406.86	$82,768	$232,725
98	$2,330.37	$2,406.86	$83,160	$235,403
99	$2,330.37	$2,406.86	$83,553	$238,083
100	$2,330.37	$2,406.86	$83,949	$240,765
101	$2,330.37	$2,406.86	$84,347	$243,450
102	$2,330.37	$2,406.86	$84,748	$246,137
103	$2,330.37	$2,406.86	$85,150	$248,825
104	$2,330.37	$2,406.86	$85,555	$251,517
105	$2,330.37	$2,406.86	$85,963	$254,210
106	$2,330.37	$2,406.86	$86,372	$256,905
107	$2,330.37	$2,406.86	$86,784	$259,603
108	$2,330.37	$2,406.86	$87,198	$262,303
109	$2,345.26	$2,479.07	$87,558	$265,046
110	$2,345.26	$2,479.07	$87,919	$267,792
111	$2,345.26	$2,479.07	$88,282	$270,539
112	$2,345.26	$2,479.07	$88,647	$273,289
113	$2,345.26	$2,479.07	$89,015	$276,041
114	$2,345.26	$2,479.07	$89,384	$278,796
115	$2,345.26	$2,479.07	$89,756	$281,552
116	$2,345.26	$2,479.07	$90,130	$284,311
117	$2,345.26	$2,479.07	$90,505	$287,072
118	$2,345.26	$2,479.07	$90,883	$289,835
119	$2,345.26	$2,479.07	$91,263	$292,601
120	$2,345.26	$2,479.07	$91,646	$295,368
121	$2,360.59	$2,553.44	$91,971	$298,181
122	$2,360.59	$2,553.44	$92,298	$300,995
123	$2,360.59	$2,553.44	$92,627	$303,812
124	$2,360.59	$2,553.44	$92,958	$306,631
125	$2,360.59	$2,553.44	$93,291	$309,452
126	$2,360.59	$2,553.44	$93,625	$312,276
127	$2,360.59	$2,553.44	$93,962	$315,102
128	$2,360.59	$2,553.44	$94,300	$317,930
129	$2,360.59	$2,553.44	$94,641	$320,760
130	$2,360.59	$2,553.44	$94,983	$323,593
131	$2,360.59	$2,553.44	$95,327	$326,428
132	$2,360.59	$2,553.44	$95,673	$329,266
133	$2,376.38	$2,630.04	$95,960	$332,149
134	$2,376.38	$2,630.04	$96,249	$335,034
135	$2,376.38	$2,630.04	$96,540	$337,922
136	$2,376.38	$2,630.04	$96,832	$340,812
137	$2,376.38	$2,630.04	$97,126	$343,705
138	$2,376.38	$2,630.04	$97,421	$346,599
139	$2,376.38	$2,630.04	$97,719	$349,496
140	$2,376.38	$2,630.04	$98,017	$352,396
141	$2,376.38	$2,630.04	$98,318	$355,297
142	$2,376.38	$2,630.04	$98,620	$358,201
143	$2,376.38	$2,630.04	$98,924	$361,108
144	$2,376.38	$2,630.04	$99,230	$364,017
145	$2,392.64	$2,708.95	$99,475	$366,973
146	$2,392.64	$2,708.95	$99,721	$369,931
147	$2,392.64	$2,708.95	$99,968	$372,891
148	$2,392.64	$2,708.95	$100,217	$375,854
149	$2,392.64	$2,708.95	$100,468	$378,820
150	$2,392.64	$2,708.95	$100,719	$381,788
151	$2,392.64	$2,708.95	$100,972	$384,758
152	$2,392.64	$2,708.95	$101,227	$387,730
153	$2,392.64	$2,708.95	$101,483	$390,705
154	$2,392.64	$2,708.95	$101,741	$393,682
155	$2,392.64	$2,708.95	$102,000	$396,662
156	$2,392.64	$2,708.95	$102,260	$399,644
157	$2,409.40	$2,790.21	$102,457	$402,674
158	$2,409.40	$2,790.21	$102,656	$405,707
159	$2,409.40	$2,790.21	$102,855	$408,743
160	$2,409.40	$2,790.21	$103,056	$411,780
161	$2,409.40	$2,790.21	$103,258	$414,821
162	$2,409.40	$2,790.21	$103,461	$417,863
163	$2,409.40	$2,790.21	$103,665	$420,908
164	$2,409.40	$2,790.21	$103,871	$423,956
165	$2,409.40	$2,790.21	$104,077	$427,006
166	$2,409.40	$2,790.21	$104,285	$430,058
167	$2,409.40	$2,790.21	$104,494	$433,113
168	$2,409.40	$2,790.21	$104,704	$436,170
169	$2,426.65	$2,873.92	$104,848	$439,277
170	$2,426.65	$2,873.92	$104,994	$442,387
171	$2,426.65	$2,873.92	$105,140	$445,499
172	$2,426.65	$2,873.92	$105,287	$448,613
173	$2,426.65	$2,873.92	$105,435	$451,730
174	$2,426.65	$2,873.92	$105,584	$454,850
175	$2,426.65	$2,873.92	$105,734	$457,972
176	$2,426.65	$2,873.92	$105,885	$461,096
177	$2,426.65	$2,873.92	$106,036	$464,223
178	$2,426.65	$2,873.92	$106,188	$467,352
179	$2,426.65	$2,873.92	$106,341	$470,484
180	$2,426.65	$2,873.92	$106,495	$473,619
181	$2,444.42	$2,960.14	$106,582	$476,804
182	$2,444.42	$2,960.14	$106,669	$479,993
183	$2,444.42	$2,960.14	$106,756	$483,184
184	$2,444.42	$2,960.14	$106,844	$486,377
185	$2,444.42	$2,960.14	$106,933	$489,573
186	$2,444.42	$2,960.14	$107,021	$492,771
187	$2,444.42	$2,960.14	$107,111	$495,972
188	$2,444.42	$2,960.14	$107,201	$499,175
189	$2,444.42	$2,960.14	$107,291	$502,381
190	$2,444.42	$2,960.14	$107,382	$505,590
191	$2,444.42	$2,960.14	$107,473	$508,801
192	$2,444.42	$2,960.14	$107,565	$512,014
193	$2,462.73	$3,048.94	$107,587	$515,281
194	$2,462.73	$3,048.94	$107,610	$518,550
195	$2,462.73	$3,048.94	$107,632	$521,821
196	$2,462.73	$3,048.94	$107,654	$525,096
197	$2,462.73	$3,048.94	$107,677	$528,372
198	$2,462.73	$3,048.94	$107,699	$531,652
199	$2,462.73	$3,048.94	$107,722	$534,933
200	$2,462.73	$3,048.94	$107,745	$538,218
201	$2,462.73	$3,048.94	$107,768	$541,505
202	$2,462.73	$3,048.94	$107,791	$544,794
203	$2,462.73	$3,048.94	$107,814	$548,087
204	$2,462.73	$3,048.94	$107,838	$551,381
205	$2,481.59	$3,140.41	$107,788	$554,731
206	$2,481.59	$3,140.41	$107,739	$558,083
207	$2,481.59	$3,140.41	$107,689	$561,437
208	$2,481.59	$3,140.41	$107,639	$564,794
209	$2,481.59	$3,140.41	$107,589	$568,154
210	$2,481.59	$3,140.41	$107,539	$571,516
211	$2,481.59	$3,140.41	$107,488	$574,881
212	$2,481.59	$3,140.41	$107,437	$578,249
213	$2,481.59	$3,140.41	$107,386	$581,619
214	$2,481.59	$3,140.41	$107,334	$584,992
215	$2,481.59	$3,140.41	$107,282	$588,368
216	$2,481.59	$3,140.41	$107,230	$591,746
217	$2,501.01	$3,234.62	$107,102	$595,180
218	$2,501.01	$3,234.62	$106,974	$598,617
219	$2,501.01	$3,234.62	$106,846	$602,057
220	$2,501.01	$3,234.62	$106,716	$605,499
221	$2,501.01	$3,234.62	$106,586	$608,944
222	$2,501.01	$3,234.62	$106,455	$612,391
223	$2,501.01	$3,234.62	$106,323	$615,842
224	$2,501.01	$3,234.62	$106,191	$619,295
225	$2,501.01	$3,234.62	$106,058	$622,750
226	$2,501.01	$3,234.62	$105,924	$626,209
227	$2,501.01	$3,234.62	$105,789	$629,670
228	$2,501.01	$3,234.62	$105,653	$633,133
229	$2,521.01	$3,331.66	$105,440	$636,655
230	$2,521.01	$3,331.66	$105,226	$640,179
231	$2,521.01	$3,331.66	$105,010	$643,706
232	$2,521.01	$3,331.66	$104,793	$647,236
233	$2,521.01	$3,331.66	$104,575	$650,768
234	$2,521.01	$3,331.66	$104,356	$654,303
235	$2,521.01	$3,331.66	$104,135	$657,841
236	$2,521.01	$3,331.66	$103,913	$661,382
237	$2,521.01	$3,331.66	$103,690	$664,925
238	$2,521.01	$3,331.66	$103,466	$668,471
239	$2,521.01	$3,331.66	$103,240	$672,020
240	$2,521.01	$3,331.66	$103,013	$675,571
241	$2,541.61	$3,431.61	$102,705	$679,183
242	$2,541.61	$3,431.61	$102,396	$682,796
243	$2,541.61	$3,431.61	$102,085	$686,413
244	$2,541.61	$3,431.61	$101,772	$690,032
245	$2,541.61	$3,431.61	$101,458	$693,655
246	$2,541.61	$3,431.61	$101,141	$697,279
247	$2,541.61	$3,431.61	$100,823	$700,907
248	$2,541.61	$3,431.61	$100,503	$704,538
249	$2,541.61	$3,431.61	$100,182	$708,171
250	$2,541.61	$3,431.61	$99,858	$711,807
251	$2,541.61	$3,431.61	$99,533	$715,446
252	$2,541.61	$3,431.61	$99,206	$719,087
253	$2,562.84	$3,534.56	$98,795	$722,790
254	$2,562.84	$3,534.56	$98,382	$726,496
255	$2,562.84	$3,534.56	$97,966	$730,205
256	$2,562.84	$3,534.56	$97,548	$733,916
257	$2,562.84	$3,534.56	$97,128	$737,631
258	$2,562.84	$3,534.56	$96,706	$741,348
259	$2,562.84	$3,534.56	$96,281	$745,068
260	$2,562.84	$3,534.56	$95,853	$748,790
261	$2,562.84	$3,534.56	$95,424	$752,516
262	$2,562.84	$3,534.56	$94,991	$756,244
263	$2,562.84	$3,534.56	$94,557	$759,976
264	$2,562.84	$3,534.56	$94,120	$763,710
265	$2,584.69	$3,640.60	$93,596	$767,507
266	$2,584.69	$3,640.60	$93,069	$771,307
267	$2,584.69	$3,640.60	$92,540	$775,110
268	$2,584.69	$3,640.60	$92,007	$778,916
269	$2,584.69	$3,640.60	$91,471	$782,725
270	$2,584.69	$3,640.60	$90,932	$786,537
271	$2,584.69	$3,640.60	$90,391	$790,351
272	$2,584.69	$3,640.60	$89,846	$794,169
273	$2,584.69	$3,640.60	$89,298	$797,989
274	$2,584.69	$3,640.60	$88,747	$801,813
275	$2,584.69	$3,640.60	$88,193	$805,639
276	$2,584.69	$3,640.60	$87,636	$809,468
277	$2,607.21	$3,749.81	$86,989	$813,362
278	$2,607.21	$3,749.81	$86,338	$817,259
279	$2,607.21	$3,749.81	$85,683	$821,159
280	$2,607.21	$3,749.81	$85,025	$825,062
281	$2,607.21	$3,749.81	$84,363	$828,968
282	$2,607.21	$3,749.81	$83,698	$832,877
283	$2,607.21	$3,749.81	$83,028	$836,788
284	$2,607.21	$3,749.81	$82,355	$840,703
285	$2,607.21	$3,749.81	$81,678	$844,621
286	$2,607.21	$3,749.81	$80,997	$848,541
287	$2,607.21	$3,749.81	$80,313	$852,465
288	$2,607.21	$3,749.81	$79,624	$856,392
289	$2,630.40	$3,862.31	$78,843	$860,385
290	$2,630.40	$3,862.31	$78,057	$864,382
291	$2,630.40	$3,862.31	$77,266	$868,381
292	$2,630.40	$3,862.31	$76,471	$872,383
293	$2,630.40	$3,862.31	$75,671	$876,389
294	$2,630.40	$3,862.31	$74,867	$880,397
295	$2,630.40	$3,862.31	$74,059	$884,409
296	$2,630.40	$3,862.31	$73,246	$888,423
297	$2,630.40	$3,862.31	$72,428	$892,441
298	$2,630.40	$3,862.31	$71,605	$896,461
299	$2,630.40	$3,862.31	$70,778	$900,485
300	$2,630.40	$3,862.31	$69,947	$904,512

Information and interactive calculators are made available to you as self-help tools for your independent use and are not intended to provide investment advice. We cannot and do not guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues. Search by community.