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9. Rent versus buy analysis - Part 1 Which is better: to rent or to...

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Accounting

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9. Rent versus buy analysis - Part 1 Which is better: to rent or to buy? The decision of whether to rent or buy housing is a personal decision that is based on both your lifestyle and your finances. While most financial experts argue that the financial aspect of the decision is important, it is also important not to base your rent-or-buy decision solely on the numbers. Your personal needs and housing market conditions are important However, it is still necessary to perform the financial analysis. Before you conduct a rent or buy analysis, it is entical that you understand how the U.S. tax code creates tax shelters for homeowners. Interest paid on a home foon is added to the homeowner's taxable income and thus biso provides in nation hedge because the generally the value of the house ot a rate inflation. This makes homeownership attractive to investors as an investment asset the tax liability. Homeownership than the rate of The standard deduction for mortgage interest under the 2014 US tax codes: 512,600 for single individuals and 50, 300 for married couples filing jointly 55,300 for single individuals and 512,600 for mamed couples ning jointly $5.900 for single individuos and $21,800 for married couples ting jointly

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