[eastbay]

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This doesn't have to be such a big question mark. If OP can find a place that is close to the cost of renting then he can safely buy. If the cost of renting is a lot lower than the cost of owning, then he should wait. I think Desert Cat has gone through a couple example calculations in past threads. If you are interested in a specific property, just go through the calculation yourself to see what price should be offered on the place.

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The problem with these kinds of "calculations" is that the result is too strongly dependent on model assumptions for appreciation, rental rates, and investment returns, which have such wide bounds of uncertainty as to make the calculation mostly worthless. You can make it say anything you want it to say by choosing the numbers one way or another.

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