Puchase Price= $225000.00
|Interest = 6.0%|
|Down Payment = 10%||Term of Loan = 30 years|
|How long to live here = 5 years||Monthly Rent = $800|
|Rent Rate Increase = 2.6%||House Appreciation = 4.0%|
Mortgage InfoDown Payment: $22,500.00
Mortgage amount after down payment: $202,500.00
Monthly Payment: $1,214.09 (Principal and Interest Only)
Since Principal and Interest are not the only factors of a loan we should include an estimate for PMI, Taxes and Insurance. An average Tax figure for your home tends to be about $10 for every $1000 assessed value. If the assessed value of your home is 85% this would make your home's assessed value $191,250.00, and your monthly tax $159.38. Your down payment was less than 20% of the loan..looks like you're paying PMI. This averages around $56 for every $100,000 borrowed.Your PMI is estimated to be $113.40 per month.
With PMI, Taxes, and Homeowners Insurance ($55 average) your payment would be around $1,541.86.
Over the length of time you indicated (5 years), you would have spent $92,511.89 on mortgage payments. This includes Principal, Interest, Taxes, Insurance and PMI (if applicable). You will pay $58,780.46 in total interest over the 5 years that you live here. Your total taxes paid will be $9,562.50.
Using a 4.0% appreciation rate over 5 years, your house will appreciate to $273,746.90.
Rental InfoThe monthly rent includes $25 as an average for renters insurance: $800 + $25.00 = $825.00 for the first year. Rate of increase is also a factor commonly used to determine an estimated increase of rent every year. We will use an average of 2.6% yearly increase. Over the length of time you indicated (5 years), you would have spent $52,061.74 on rent and insurance.
|Last Payment Amount: $886.50||Last Payment Amount: $1,541.86|
|Total Payments: $52,061.74 over 5 years||Total Payments: $115,011.89 over 5 years (incl. down payment)|
|Tax Savings: $0||Tax Savings: $24,261.75 (deductions for T and I)|
|Appreciation: $0||Appreciation & principal: $62,811.83|
|Total Spent: $52,061.74||*Total Spent: $27,938.31|
* Total Spent includes total mortgage paid - (appreciation + principal + tax savings).