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Sarah and Paul are thinking of buying or renting another house to showcase even more products and ideas. They are wondering if the house could

Sarah and Paul are thinking of buying or renting another house to showcase even more products and ideas. They are wondering if the house could be partially rented out to a tenant who would agree to keep things clean and permit customers to visit with advance notice. The tenant could also help with adding or removing furniture and appliances once sales have been completed to customers. Sarah estimates that the monthly rental income of $1,000 would potentially make up half of the mortgage payment (35% interest on average over ten years) and four-fifths of the entire rental payment. In both a rental and ownership scenario, House Tech would incur additional monthly expenses of $500 a month. Sarah expects the new house will boost current sales by 10%. She also expects its value to increase by $30,000 over ten years. Sarah is asking for your input on whether they should rent, buy, or avoid the house altogether.

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