- If they rent, the buider will require monthly rental payments of $1,100 and a security deposit equal to two months of rent. - Since they want to be protected against the possible loss of their possessions, they will purchase a renters' policy of $200 every six months, while a more comprehensive homeowners' policy will cost 0.5% of the home's value per year. - Money used to fund the unit's security deposit could otherwise be invested to earn 3% per year after taxes, Funds expended for a home's down payment and dosing costs also incur an opportunity cost. - If the unt is purchased, it will cost $175,000 and will require a 20% down payment, The loan will carry an interest rate of 6%, a term of 30 years, and monthly payments of $839. The closing costs associated with the unit's mortoage will be $3,500. - The property taxes and the maintenance and repair expenses on the unit are estimated to be 3% and 1% of the unit's total price, respectively. - Your ordinary income is taxed at the fate of 28%, and you'li be willing to itemize your tax deductions in the event that you purchase your new home. - Financial publications report that home values are expected to increase by 3% this year due to inflation. Purchase the home, as the cost of purchasing is greater than the cost of renting Rent the home, as its total cost is less than the total cost of purchasing Purchase the home, as the total cost of purchasing is less than the cost of renting - If they rent, the buider will require monthly rental payments of $1,100 and a security deposit equal to two months of rent. - Since they want to be protected against the possible loss of their possessions, they will purchase a renters' policy of $200 every six months, while a more comprehensive homeowners' policy will cost 0.5% of the home's value per year. - Money used to fund the unit's security deposit could otherwise be invested to earn 3% per year after taxes, Funds expended for a home's down payment and dosing costs also incur an opportunity cost. - If the unt is purchased, it will cost $175,000 and will require a 20% down payment, The loan will carry an interest rate of 6%, a term of 30 years, and monthly payments of $839. The closing costs associated with the unit's mortoage will be $3,500. - The property taxes and the maintenance and repair expenses on the unit are estimated to be 3% and 1% of the unit's total price, respectively. - Your ordinary income is taxed at the fate of 28%, and you'li be willing to itemize your tax deductions in the event that you purchase your new home. - Financial publications report that home values are expected to increase by 3% this year due to inflation. Purchase the home, as the cost of purchasing is greater than the cost of renting Rent the home, as its total cost is less than the total cost of purchasing Purchase the home, as the total cost of purchasing is less than the cost of renting