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A few years after your graduation, you are deciding between buying a home or remaining as a renter. You found that the required rate of

A few years after your graduation, you are deciding between buying a home or remaining as a renter. You found that the required rate of return for real estate in your city is 5.4%. You are currently paying monthly rent of $3,000. Average home price in your city is $450,000. 



Should you rent or buy? Explain why and show your calculation.

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