I consult with new and seasoned buyers to make sure your interests are protected. These are the typical purchase steps in CT. Please email me with questions or thoughts

Renting
• $1000 per mo. for 5 years = $60,000
• No tax savings from deducting your mortgage interest payments from your tax basis
• No Equity in Home
• No control over your living space
  
In five years you have a financial deficit of $60,000

Buying with a 30-yr. fixed rate mortgage
• 1BR condo valued at $180,000 with $2500 in taxes annually
• 5% down = $9,000
• Mortgage Amount = $171,000*
• Mortgage Rate: 5.5% for 30 years fixed
• Mortgage Payment = $961; Taxes per mo. = $209
• PMI Insurance (since down payment is less than 20%) = $111
• Total Monthly Payment = $1,281
• Tax savings = $15,120** (based on 45,360 of interest paid)
• Sell condo in 5 years at a modest 20%*** increase in value of $216,000
• $216,000 - Balance of Mortgage $158,105 = $57,895
• In five years you gain a financial surplus of $77,182
  
The difference between renting and buying is $137,182

Buying with an adjustable 5/1 rate mortgage
• 1BR condo valued at $180,000
• 5% down = $9,000
• Mortgage Amount = $171,000*
• Interest Rate: 4.5% for 5 years and then adjusted
• Mortgage Payment = $867; Taxes per mo. = $209
• PMI Insurance (since down payment is less than 20%) = $111
• Total Monthly Payment = $1,187
• Tax Savings Over 5 years = $12,178** (based on $36,834 interest paid)
• Sell condo in 5 years at a modest 20%*** increase in value of $216,000
• $216,000 - Balance of Mortgage $155,940 = 60,060
• In five years you gain a financial surplus of $72,238
  The difference between renting and buying is $132,238

Buy the same condo with 5% down and a home equity loan in place of paying PMI to create lower monthly payments and comparable savings
• Mortgage Payment for 30-yr fixed = $1,130
• Interest Paid = $44,318
• Principal Paid = $10,877
• Mortgage Payment for 5/1 Adjustable = $1,041
• Interest Paid = $37,249
• Principal Paid = $12,728