Rent vs Buy Calculator
Would you be better off renting for the rest of your life. If property prices stop increasing as they have done in almost every year for the last 100 years, then the answer may be yes. Alternately, if property prices continue to do what they have done for so long, then the appreciation of your home value will form a valuable part of your retirement nest egg. The price of existing homes increased by 5.4% annually from 1968 to 2009, on average. (Natl. Assoc. of Realtors, p.1, p.2) Notice that this is the same figure as new homes by the Census Bureau for a similar period. Once we adjust for the fact that homes get bigger over time, the annual rate is 3.7%.