Rent vs. buy, rents and cash flow for 340 U.S. cities. One chart a day, real data (Zillow, HUD, Census). Free tools → https://t.co/0JWI8q809xrentcaliber.comJoined February 2022
@TheMisterTurtle One thing I wish more buyers did:
Run the mortgage at 30 years, then run the exact same loan with one extra principal payment each year.
Compare the payoff date + total interest.
Small overpayments can change the back half of a mortgage more than people expect.
@tonyilucas@burrytracker That’s the pressure point I’m watching too.
Consumer stress is real. But the key question for housing is whether it becomes widespread mortgage distress and forced selling.
If that starts accelerating, the housing conversation changes very quickly.
@NoLimitGains This is why I wish people would stop using home prices alone to measure affordability.
The house went up ~17%.
The payment nearly doubled.
Price tells you what the house costs.
Financing tells you whether you can actually buy it.
That’s the point of the calculator.
Not to tell you whether renting or buying is “better.”
It’s to let you change the assumptions until they actually look like your life.
Personal finance gets a lot more useful when the “personal” part is included.
Now change ONE input:
How long you expect to stay.
Run 3 years.
Then 5.
Then 10.
Closing costs, selling costs, equity buildup and other assumptions play out over time.
There isn’t one universal “rent vs. buy” answer.
I see people arguing about “rent vs. buy” every single day.
Most comparisons I see are missing half the equation.
If you actually want to compare them for YOUR situation, here’s what I’d put into a rent vs. buy calculator. ↓
Before signing a 30-year mortgage, spend 5 minutes with an amortization calculator.
The goal isn’t to scare yourself out of buying a home.
It’s to understand the contract you’re about to spend decades paying.
Now do something even more useful:
Run the exact same mortgage at different interest rates.
Don’t just compare the payments.
Compare:
• Monthly payment
• Total interest
• Balance after 5/10 years
That’s the real cost of the rate.
I’ve seen a ton of posts lately from people shocked by how much they’ve paid on their mortgage… and how much they still owe.
There’s a tool that makes this painfully easy to understand: an amortization schedule.
Here’s how to read one in 60 seconds. ↓
A $20K price cut feels huge.
On a 30-year mortgage, a 1% change in your interest rate can matter more.
Negotiate the house. But understand the financing.
@uncledoomer He’s right about fixed debt.
He’s wrong if the conclusion is “therefore, buy at any price.”
Leverage amplifies good decisions and bad ones.
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