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The purpose of this study is to try to take some macroeconomics variables into account to establish a mathematic model which could evaluate the benefit of credit- purchasing housing and rental housing by using net present value. Furthermore, the study suggests one way to point out the break-even point for resale of credit-purchasing housing and rental housing from consumers'' point of view.
Then, three respective cases would be studied in the model. All the outcomes could be gained from Excel file programmed by the model. So as to point out the benefits of alternatives.
After this cases analysis, conclusions could be sum- marized as follows:
1. It is advantageous to credit-purchase house when nominal interest rate or growth rate of renting house is high because the net present value of renting house is low. 2. It is disadvantageous to purchase a house if the rate of return of individual investment increases. One should allocates his fund to the financial products which have higher returns and rent a house instead of purchase one. 3. When the loan rate decreases, the monthly installment payment goes down. This would stimulate consumers to credit- purchasing a house.
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