This might be duh for some people, but if you're like me and considering a mortgage; at today's rates in the US at around 5-6%, over 30yr mortgage you will pay about same in interest as you will for your house price.

Your $500k house will cost you around $1M total over thirty years.

I was surprised.

https://m.mortgagecalculator.org/?q=A1Nzy-8KX

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[–] 5 points 1 year ago (2 children)

Yeah, that’s how interest on debt works. It works the same way on your savings account, where the bank is essentially borrowing money from you at x% interest.

It’s actually worse in the case of mortgages because they’re front-loaded with interest, which will eat into your profits if you sell the house early.

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  • [–] 1 point 1 year ago

    I found a pretty (interesting calculator)[https://wowa.ca/calculators/rent-vs-buy-calculator] that takes a lot of factors into account for buying vs renting. It's for Canada, but you could modify a bunch of the parameters to get an idea for your area.

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