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In Jan 2 0 1 9 , Missy Grant moved to Uptown Dallas for a new job in a commercial real estate investment firm. There,
In Jan Missy Grant moved to Uptown Dallas for a new job in a commercial real estate investment firm. There, she rented a spacious, twobedroom condominium for $ per month, which included parking but not utilities or cable television. She anticipates no increase in rent for a foreseeable future. In July the virtually identical unit next door became available for sale with an asking price of $ and Grant believed she could purchase it for $ The home price is expected to increase to $ in years and the brokerage commission is expected to be The mortgage terms are year monthly interest rate.
She intends to stay in the DFW metroplex for years. She realized she was facing the classic buyversusrent decision.
If Grant purchased the new condominium, she would pay monthly condo fees of $ per month, plus property taxes of $ per month on the unit. Unlike when renting, she would also be responsible for repairs and general maintenance, which she estimated would average $ per year. If she decided to purchase the new unit, Grant intended to provide a cash down payment of percent of the purchase price.
Assuming there is no initial rental deposit to be paid if she rents and her discount rate is what is the approximate value of BUY?
Approximate to nearest s
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