You are planning to live in the city of Houston, Texas for 5 years. You are deciding

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You are planning to live in the city of Houston, Texas for 5 years. You are deciding to rent or to buy a house for this 5-year period. Rent: Monthly rental cost will be $1,200 paid at the end of each month. Buy: The purchase price of the house you intend to buy is $220,000. You will pay cash. You believe you can sell the house for $250,000 at the end of 5 years. Which option (buy or rent) is better, and by how much? The interest rate is 5.76% COMPOUNDED MONTHLY. Ignore income taxes. Also ignore any other factors not specifically mentioned in the data above.

Posted Date: Jun 18, 2024 01:10 AM

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You are planning to live in the city of Houston, Texas for 5 years. You are deciding

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