…When making the decision to buy vs. rent, people usually consider several factors — the rent vs. mortgage payment being the primary question. But there are other financial factors to consider, including:
* Your insurance premium.
* Property taxes (which are usually higher than any tax deduction you get from your mortgage interest).
* Maintenance (pipes break, electricity problems, etc.).
* Utilities (utilities and maintenance for renters is often reflected in the rental price, but it’s not reflected in a mortgage when you own).
* Yard work, pest control, remodeling, etc. (again, rents usually have this built into the price, but mortgages don’t)…
* A down payment of at least 15 per cent, which is $90,000 on a $600,000 home.
* Closing costs, usually 5 per cent of loan amount, or another $25,000.
* Initial remodeling costs…
NOW WATCH: Briefing videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.