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I have seen debates on here about renting homes versus Buying a home. Except when stationed in Hawaii I always bought our homes instead of renting. I have followed a few different real estate plans such as - buy the worse house in the best neighborhood & doing a new build in a new subdivision with zero builder upgrades (level 8 granite counters, upgraded lights, upgraded handles, the list goes on and on) and upgrade things you want yourself.
I have claimed to always make money vrs renting and here are the numbers on my house.
Bought home in 2011
93 monthly mortgage payments *1250 = $ 116,000 includes taxes and insurance on a zero down VA loan.
Improvements to home $25,000
Cost to own $141000 or $1517 per month over 93 months.
Equity back to us after sale minus realtor, closing ect. $83,400
Adjusted cost to own after sale price. $57600 or $620 per month
Equivalent house to rent in local area = $1500 @ 91 months = $136,500. Utilities not included.
Bottom line is after it is all over we get a check for $83,000 but digging deeper our adjusted cost to live in that home is $620 per month versus renting for $1500 per month and getting 0 back after over 8 years.
YMMV
I have claimed to always make money vrs renting and here are the numbers on my house.
Bought home in 2011
93 monthly mortgage payments *1250 = $ 116,000 includes taxes and insurance on a zero down VA loan.
Improvements to home $25,000
Cost to own $141000 or $1517 per month over 93 months.
Equity back to us after sale minus realtor, closing ect. $83,400
Adjusted cost to own after sale price. $57600 or $620 per month
Equivalent house to rent in local area = $1500 @ 91 months = $136,500. Utilities not included.
Bottom line is after it is all over we get a check for $83,000 but digging deeper our adjusted cost to live in that home is $620 per month versus renting for $1500 per month and getting 0 back after over 8 years.
YMMV