Answer Happy

Part C: The rent for any home in the neighbourhood is 30% higher than the monthly mortgage payment for the first year. Rent will increase by 1.5% annually after that. You can invest any money saved by renting in an account that pays 3.2%. With the given information, compare the cost of buying and renting the home that fits your financial needs over the amortization period chosen. Then, make a final decision whether to rent or buy the home and give your most important reason for the decision.