Identify a home in your area (or wherever you’d like to live

Finance Assignment

Step 1: Identify a home in your area (or wherever you’d like to live).

Step 2: Based on the price of the home, determine how much it would cost you on a monthly basis to purchase that home. Your payment will consist of Principal, Interest, Taxes, and Insurance (PITI).

Note: Use current 30-year interest rates; Assume 5%-10% downpayment; The “insurance” in the PITI is not property coverage, it is insurance to protect the lender in case you default on the loan.

Step 3: Identify a comparable rented space and compare that cost to the monthly cost in Step 2.

Step 4: Submit the comparison in an Excel spreadsheet or Word file. You may also submit supporting documentation to identify your sources.

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