We agree with the contractor that the damages resulting from increased interest rates are consequential damages. Increases in interest rates are not caused by delays in completion of construction contracts.
So you can multiply your current rent by 1.33 to arrive at a rough estimate of a mortgage payment. Hereâs an example: If you currently pay $1,500 per month in rent, you should be able to comfortably afford a $2,000 monthly mortgage payment after factoring in the tax benefits of homeownership.
Buying a home may be more affordable than renting in many parts of the country. A $100,000 mortgage loan at 4 percent interest means just $477 a month in principal and interest payments. Thatâs probably far less than most apartment types run in your area. However, just make sure that you are fully aware of all additional monthly expenses involved before you go rushing out shopping for a home.