Rent Does Not Build Equity

See How The Rent Piles Up

The chart below shows how the rent you pay each month piles up over time.  You won’t experience any return on this money.  However, when you own a home, the principle you pay on a mortgage builds equity in your investment.

Rent 5 Years 10 Years 20 Years 30 Years
$1200 $72,000 $216,000 $288,000 $432,000
$1600 $96,000 $192,000 $384,000 $576,000
$2000 $120,000 $240,000 $480,000 $720,000
$2400 $144,000 $288,000 $576,000 $864,000
$3000 $180,000 $360,000 $720,000 $1,080,000

Your equity will build slowly, but in the end you have a home of your own.

What are the benefits of home ownership?

We’ve got a great list to get you started in understanding the value of owning a home.

Don’t think you have enough of a down payment?

The State of Texas has programs that will help you with a down payment!

 

What home price can you afford?

Let’s see how your monthly rent could translate to a mortgage…

A simple calculator like this one at FrogRate lets you plug in some numbers to get an idea of what you would be paying per month for a new home mortgage. Keep in mind that it does not include property taxes and insurance. That is why it is best to speak with a lender.

Add your downpayment amount to the mortgage amount below and you’ll get a great idea of the home you can afford at your current rent amount. Don’t forget that you will get the added benefit of tax savings!

Rent Mortgage Amount
$1350 $170,000
$1500 $200,000
$2300 $300,000
$2200 $368,000
$2900 $400,000

Ready to see what homes you can afford?

Enter your search criteria here to get started.

Contact Us

Kat Bryant, REALTOR®, GRI

 214-785-8225
 info@KatBryant.com

 
Anthony Patton, VP/Branch Manager

 214-226-0885
  anthony.patton@primelending.com

 

Keller Williams – Allen

Located in the heart of Collin County Texas and serving all of North Texas. Visit us at:
1002 Raintree Cr. #100
Allen, TX 75013

Prime Lending Residential Mortgage

Just down the road from the Keller Williams office lies your key to home ownership. Visit us at:
800 North Watters Road #180
Allen, TX 75013