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Rent vs. buying

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Can you help me with applying concepts to making this decision between renting or buying a home?

I need to address the following topic:

"Consider whether renting or buying a home is the best approach to achieving your long-term financial goals. Use various data (housing rental costs, home sale prices, mortgage rates, etc.) Account for any future increase/decrease in costs, mortgage debt, closing costs, insurance, appreciation or loss, taxes, etc. related to your decision. Determine which would be best for you now and in the future"

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Solution Summary

Can you help me with applying concepts to making this decision between renting or buying a home?

I need to address the following topic:

"Consider whether renting or buying a home is the best approach to achieving your long-term financial goals. Use various data (housing rental costs, home sale prices, mortgage rates, etc.) Account for any future increase/decrease in costs, mortgage debt, closing costs, insurance, appreciation or loss, taxes, etc. related to your decision. Determine which would be best for you now and in the future"

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I will give you a run-down for short-term and long-term outlooks.

For short-term, you are better off renting a home. This is due to the fact that in today's market, a home isn't worth what you buy it for and will depreciate in price before you even close on the home. In addition, you will have to pay property taxes each year, which will put you further in the hole as your interest grows on the principal amount. Thus, let's say you buy a home that is appraised at $200,000. You take a $180,000 loan and put $20,000 down. During this year, the property taxes in your area are $7,000 per year on your value ...

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