I’ve been meaning to post something on the topic of Renting vs. Owning property in Santa Barbara for quite a while. Thank you Deanna for inspiring me to finally do it!
The easiest way to compare the cost of renting versus owning is by looking at the following example:
*note: the #’s below are for example, these do not necessarily reflect all Santa Barbara real estate values
Purchase Price of house: $500,000 (3.5% down payment, $482,500 loan amount at 4%)
Monthly payment: $2304 mortgage payment + $500 property tax +$65 Insurance = $2869
Monthly housing expense after tax deductions: $2869 – $588 = $2281
Monthly payment: $2300
Monthly housing expense (no tax deductions): $2300
There is often a misconception that it is impossible to own property in Santa Barbara, but as you can see from the example above, that is not the case. If you are interested in investing in a Santa Barbara home, don’t hesitate to contact us. We’re here to answer any questions and be your Santa Barbara Real Estate Guide!