Based on the information provided (a monthly rent payment of $800.00, annual rent increase of 4%, home value of $300,000.00, annual maintenance cost of $900.00, annual appreciation of 5%, 5 years before sell, selling cost of 7%, loan amount of $250,000.00, interest rate of 5%, term of 30 years, points of 1%, federal tax rate of 26%, state tax rate of 5%, property tax of 31%, annual insurance of 0.5%, and annual PMI of 0.4%), you will experience home purchase benefits of $68,400.76. By renting, you would save $58,110.00, calculated by multiplying your monthly rent savings of $968.50 by 5 times 12 months. But since mortgage interest is tax-deductible, you would save $18,629.47 by buying. Furthermore you would experience an estimated equity appreciation of $126,510.76. When determining whether to rent versus buy, it is helpful to compare the monthly savings and total savings from renting with the equity appreciation and home purchase benefits you would obtain by buying.