Let’s say that you can rent a really nice place for $2,000 per month. Let’s also say that since you won’t have a huge interest deduction for your tax return that you can kiss another $500 per month goodbye.
If you rent for five years, save $1,000 per month and earn 5% interest you will have — I need math help here — what close to $70k in the bank in addition to what you have saved now?
If you buy you risk losing your equity. You also might need to spend some $$ redecorating or repairing this home.
