"Jill buys a house for $100,000 with no mortgage. Jill s buying costs were 5% of the house price. Jill lives there for exactly 30 years and sells it. Suppose Jill s annual cost of ownership net of tax savings is exactly equal to the annual rent she would have paid to live in the same house. Suppose the price of Jill s house grows 4.5% per year (compounded annually). Suppose selling expenses are 8% of the sale price. What is Jill s annual IRR from owning net of renting?"