Familiarizing yourself with these factors can help you assess your options more clearly, allowing you to make a more informed, financially sound decision:

Renting

Monthly rent
Monthly rent refers to the rental payments that you’ll make every month according to your lease agreement, explains Law Insider.

Monthly renter’s insurance
This is the amount you pay for renters insurance each month. Renters insurance, also called tenants insurance, is a comprehensive policy that helps cover unexpected events, like theft, a break-in, or a visitor's injury.

Yearly rent increase/decrease
There is no federal cap on how much landlords can increase rent, though some states, such as New York, do. In the first half of 2022, the average percentage change in rent was 12.2 percent for new tenants and 3.5 percent for existing tenants, according to the U.S. Bureau of Labor Statistics (BLS).

Home purchase

Purchase price
The purchase price is the amount paid for a property, covering the cost of acquisition fees and any outstanding liens and mortgages on the property, explains Law Insider.

Down payment
When purchasing a home, a down payment is an initial expense you may need to cover. Typically, it amounts to 5%, 10%, or 20% of the home's overall price, according to the Consumer Financial Protection Bureau (CFPB).

Property tax
Property taxes are a major source of revenue for state and local governments in the U.S. They are primarily imposed on immovable property such as land and buildings. These taxes play a vital role in funding essential services such as schools, roads, police, and more, according to Tax Foundation.

Homeowners insurance
Homeowner's insurance covers losses and damage caused by unforeseen events such as fires or burglaries. If you have a mortgage, your lender may require proof of insurance to ensure the safety of your property, according to the CFPB.

Maintenance
Maintenance on a home can include things like repairs to appliances and HVAC systems, landscaping, and much more. Nationally, the average annual maintenance cost of single-family homes during the first quarter of 2023 was $6,409, according to a study done by The New York Times. This cost can greatly vary depending on your specific location, the age and size of your home, and other factors. You may want to talk with a general contractor to get a broad estimate of how much annual maintenance could cost for your specific home.

Loan info

Term
The loan term is the repayment period of the loan. The term affects your monthly payments, including the principal and interest, your interest rate, and how much interest you will pay over the life of the loan, according to the CFPB.

Interest rate
Interest is the additional cost you incur for borrowing money. Lenders make their profit from the interest paid on top of the original loan. This means that interest rates have a direct impact on the total amount you pay for your home. The specific interest rate that applies depends on the type of loan you're seeking, according to Credit.org.

Origination fee
An origination fee, charged by the lender, is a percentage of your loan amount that covers the processing of your loan, according to the Legal Information Institute (LII).

Discount points
Discount points, also referred to as points, can decrease your interest rate when you agree to pay an upfront fee, explains the CFPB.

Other settlement services
This category is made up of home purchase fees that are not included in the lender or broker compensation, including but not limited to, title searches and examinations, attorney services, and more, according to the LLI.

Other numbers to consider

Appreciation rate
The yearly percentage rate that an asset increases in value.

Expected years in the home
How long you expect to own the home before selling.

Selling costs
Costs associated with selling your home. This may include agent commissions, legal fees, and any other fees you may incur when selling a home, according to Realtylink.org.

Your state and federal tax rate
The percentage of your taxable income owed to state and federal governments, according to Rensselaer Polytechnic Institute.

Your savings rate
The yearly interest rate you earn on your savings.