Rent or buy a home
Compare renting and investing the difference with buying and later selling.
What the figures mean
- Cash flow
Money received less money paid during a period. It can differ from accounting profit; investment outlays are negative and receipts positive.
Simple example: €1,000 received less €700 paid gives a cash flow of +€300.
- Owners’ equity
In company accounts, assets less liabilities. In a property investment, your initial equity is your own money; the estimated value of your stake can differ from that amount.
Simple example: Company assets of €100,000 less €60,000 liabilities leave €40,000 of book equity.
By year
| Year | Cash flow | Loan balance |
|---|