The ultimate smackdown: Mortgage VS Rent.

The short answer is: It depends.

It all comes down to the numbers.

Rents have skyrocketed in the last few years, making renting harder for most people. A very large downside of renting is that the payments are not tax-deductible. With interest rates being so low as of 2020, it just makes sense to look at the numbers and see if your rent payment may be higher then a mortgage payment for like property. If this is the case and your rent is the same cost as the mortgage payment. We strongly advise you to consider the mortgage option. Rather than paying down your landlord’s property and building his equity, why not build yours. Down payments can be as low as 3% or 0 if you are a veteran. Another advantage of owning is the addition of a tax deduction from Mortgage interest and appreciation in value. It just makes sense to own for most people. Especially in California where the rents are crazy expensive. Cost-effective loans can run the numbers for you with no obligation so you can make an informed decision

Marty Weinstein

Broker / Owner at Cost Effective Financial 

For San Diego’s most trusted lender for over 35 years.
Email: marty@costeffectiveloans.com
Phone: +1 (619) 504-0828

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