Homeownership Assumptions property value marginal tax rate inflation maintenance insurance assessed value property tax selling costs Rental Cost Assumptions rent Mortgage Assumptions down payment rate term 450,000 20.0% 3.0% per year 1.5% of property value 2,000 per year 20.0% of property value 1.2% of assessed value 5.0% of sales price 2,000 per month 20% of house price 4.0% per year 25 years VALUES Values OPERATING CASH FLOWS BTCF property value assessed value rental value ATCE taxes insurance maintenance mortgage TOTAL BTCFs Tax Deductions property tax interest TOTAL DEDUCTIONS tax savings $463,500 $92,700 $24,720 ($1,112) ($2,060) ($6,953) ($22,803) ($32,927) ($1,112) ($14,244) ($15,357) $3,071 $477,405 $95,481 $25,462 ($1,146) ($2,122) ($7,161) ($22,803) ($33,231) ($1,146) ($13,896) ($15,041) $3,008 $491,727 $98,345 $26,225 ($1,180) ($2,185) ($7,376) ($22,803) ($33,544) ($1,180) ($13,533) ($14,713) $2,943 $506,479 $101,296 $27,012 ($1,216) ($2,251) ($7,597) ($22,803) ($33,866) ($1,216) ($13,155) ($14,371