Veridian vs. Renting:
When you pay rent, you build equity in your landlord's property. When you pay a mortgage, you build equity in your own property. It's that simple. What's more, you can deduct your mortgage interest and property tax payments on your income tax return, saving you even more. To help you evaluate the financial benefits of homeownership, we've done some of the work for you. The figures shown in our chart represent a typical situation in the Madison area. Of course, we can't guarantee them because lenders' charges vary, as do interest rates, personal taxes, property taxes, insurance and appreciation. The figures are only meant to act as guides.
||Closing Costs and Fees
||Annual Insurance Premium
This example is based on a 30-day lock, 720 credit score. After-tax payments based on 25% tax bracket. Each person's financial circumstances will differ. Your actual tax savings may vary. Please consult a tax professional for guidance. This chart is an example. Interest and appreciation may vary pending market conditions.
||Rent/Monthly Principle & Interest
||Monthly Deposit for Taxes
||Monthly Deposit for Insurance
||Private Mortgage Insurance
||Total Monthly Payment
||Income Tax Savings
||Monthly Payment After Taxes
||Property Appreciation Per Month
||Net Monthly Cost
||Market Value After 1 Year