[quote=asianautica]CardiffBaseball, I think it’s pretty safe to say tax benefit cancel out the tax you have to pay. I ran many loan amortization calculation and that’s my conclusion as well. That’s why I usually just ignore tax benefit and property tax and just concentrate on PI vs rent.[/quote]

Not if you are in a lower tax bracket, such as 15%. Our last place, we paid $280-$290 monthly for PT; no way did our mortgage interest/PT deductions cancel all that out. More like little more than half.

+ there’s hazard insurance (which is more than renter’s insurance) and HOAs (if applicable).

My most recent calculation – using Microsoft Money – estimated tax savings of about $160 a month if we were to acquire a mortgage in our price range of mid to uppermid 200s)