Azusa, located at the foothills of the San Gabriel Mountains, offers suburban charm with commuter convenience to Los Angeles. With home values on the rise and interest rates stabilizing, many are wondering: Should I buy now or continue renting?

Let’s run the numbers for a $1,150,000 purchase using 95% conventional financing and compare it to renting a comparable home.

---

🔍 Buying Scenario

• Purchase Price: $1,150,000
• Down Payment (5%): $57,500
• Loan Amount: $1,092,500
• Interest Rate: 6.25% (APR 6.397%)
• Monthly Mortgage (P&I): ~$6,725
• Estimated Taxes, Insurance & PMI: ~$1,650
• Total Monthly Payment: ~$8,375

📈 Forecasted Home Appreciation: 5.54% annually
📉 Loan Balance After 9 Years: ~$964,000
🏡 Home Value After 9 Years: ~$1,943,000
💰 Estimated Equity: ~$979,000
💼 Net Gain (after 7% selling costs): ~$836,000

---

🏠 Renting Scenario

• Comparable Monthly Rent: ~$4,500
• Annual Rent Increases: 3%

📊 Total Rent Paid Over 9 Years: ~$550,000
📉 Equity Built: $0

---

🟢 Projected Home Value Growth (5.54% per year)

In green (top chart), you can see the steady rise in the home’s projected value—reaching nearly $1.94 million by year 9.

🔵 Cumulative Rent Paid

The blue chart illustrates how renters will pay over $550,000 in rent without building equity—money gone with no return.

---

🧮 Final Comparison Table

Metric	Buying	Renting
Monthly Cost	~$8,375	~$4,500 (Year 1)
Total Out-of-Pocket	~$904,500	~$550,000
Equity/Net Gain	~$836,000	$0
Ownership Benefits	✅ Yes	❌ No
Flexibility	❌ Less	✅ More

---

✅ Conclusion: Buying Wins Long-Term

While the upfront and monthly cost of buying is higher, the long-term financial benefits are compelling. If you stay in the home for at least 9 years, you could walk away with over $800,000 in equity, even factoring in selling costs and today’s interest rates.

Bottom line: If you’re planning to settle in Azusa and can afford the upfront costs, buying a home here is a smart wealth-building move.