Episode 2 of 6
The Rent-vs-Buy Verdict
Dana runs the full rent-vs-buy model. Her current rent is $2,100/month. The equivalent mortgage would be $4,890. The break-even point — where buying becomes cheaper than renting — is 7.2 years. She plans to stay 5 years.
Key Insight
At a 5-year horizon, renting saves Dana $147k in total housing costs compared to buying. The break-even point is 7.2 years. With Seattle appreciation at 4.8%, buying only wins if she stays 8+ years or prices jump 12% in the first two years.
Model This Scenario
Starting with numbers similar to Dana's situation — adjust any input to make it yours.