Owning a home might be cheaper than you think...
You may be able to own a home for not much more than you're paying in rent. Check the chart below to see how quickly rent payments can add up. Maybe it’s time to invest that money in something that lasts — a home of your own.1
|
Monthly rent |
3 years |
10 years |
15 years |
30 years |
|
$500 |
$18,000 |
$60,000 |
$90,000 |
$180,000 |
|
$600 |
$21,000 |
$72,000 |
$108,000 |
$216,000 |
|
$700 |
$25,400 |
$84,000 |
$126,000 |
$252,000 |
|
$800 |
$28,800 |
$96,000 |
$144,000 |
$288,000 |
|
$900 |
$32,400 |
$108,000 |
$162,000 |
$324,000 |
|
$1000 |
$36,000 |
$120,000 |
$180,000 |
$360,000 |
|
$1250 |
$45,000 |
$150,000 |
$225,000 |
$450,000 |
|
$1500 |
$54,000 |
$180,000 |
$270,000 |
$540,000 |
For many, the after-tax cost of a home loan could be less than the cost of rent. That’s because the interest portion of each mortgage payment may be tax-deductible. In most cases, property taxes are also deductible. You should consult a tax advisor for details.
From Cindy Solis
Sr. Mortgage Loan Officer, Bank of America
Direct line: (408) 426-1144
Cindy's Web site
1 The amount of the payment applied to principal and interest will vary according to each client’s loan terms, including, but not limited to, rate, loan to value, and escrowed items.