Industry 360°

Housing Market Forecast

The latest market forecast and projection to what lays ahead.

Housing Matters Podcast

Your housing hub for market analysis, economic trends, and housing news.

Market Minute

Get a roundup of weekly economic and market news that matters to real estate and your business.

Surveys & Reports

Californians are surveyed annually to gain insights on the housing market from their persepective.

Stay Connected

Stay connected with the latest releases by subscribing to the products and services that interest you.

CAR Interboard Arbitration

Looking for information on how to file an interboard arbitration complaint?  You've come to the right place!  Find the rules, timeline and filing documents here.

Model MLS Rules/Materials

California Model MLS Rules, Issues Briefing Papers, and other articles and materials related to MLS policy.

Online Training for Professional Standards Volunteers

These volunteer training courses are for members who will be part of Board of Directors, grievance committees and hearing panels at local associations.

Professional Standards Administrator Certification

All local associations/boards must designate and certify one person primarily responsible for administration of professional standards processes.  NAR requires that all Professional Standards Administrators re-certify every four years, thereby meeting the learning objectives and minimum criteria established by NAR.  

Code of Ethics Violators

Summaries and photos of California REALTORS® who violated the Code of Ethics and were disciplined with a fine, letter of reprimand, suspension, or expulsion.

Statewide MLS Initiative

An explanation of C.A.R.'s position on MLS consolidations in general and a statewide MLS in particular.

NAR Code of Ethics

The most recent edition of the Code of Ethics and Standards of Practice of the National Association of REALTORS®.

Professional Standards Materials

The California Professional Standards Reference Manual, Local Association Forms, Interboard Arbitration Rules, and other materials related to Code of Ethics enforcement and arbitration.


C.A.R. advocates for REALTOR® issues in Washington D.C., Sacramento and in city and county governments throughout California.

PACs and RAF

CREPAC, LCRC, IMPAC, ALF and the RAF comprise C.A.R.'s political fundraising arm.

REALTOR® Action Fund
Politics and You

Learn how you can make a difference, by getting involved yourself or by passing along valuable information to your clients.

Arbitration Rules

California Code of Ethics and Arbitration Rules and external link to JAMS Arbitration service.

Recent Legal Developments

Summaries of legislation and regulation effecting REALTORS® and updates on news relevant to REALTORS®.

Real Estate Cases and Other Legal Resources

Important industry cases, resources and information

Legal Matters Podcast

The Legal Matters Podcast is the official podcast of the California Association of REALTORS® Member Legal Services Department.


Current legal developments, C.A.R. legal products and services.


What is This?
Add a quick link to this page from the Homepage when you are signed in
Share Article

C.A.R. looks at the monthly mortgage on a single family detached home based on the C.A.R. median price and the Real Facts average rent in each respective area for the first quarter of 2014. The monthly costs of home ownership include the mortgage payment, insurance and taxes. The mortgage interest and tax deduction savings are subtracted from the cost of ownership. The monthly costs of renting include the rent payment and renters’ insurance.

• Owners and renters live in same residence for 7 years.
• Income tax rate: 34.3% (25% federal plus 9.3% CA income tax bracket) based on annual household income of $87,698 for married couple filing jointly. (Source: C.A.R.)
 • Inflation rate: -1.5% (Source: U.S. Bureau of Labor Statistics)

• Have a 20% down payment
• Median price, loan amount, mortgage interest rate and monthly payment (Source: C.A.R.)
• Term: 30 years
• MID & property tax deduction savings calculated based on 30-year amortization schedule. Average of first seven years was taken.
• Property tax rate: 1% the first year and increases by 2% annually
• Annual home insurance cost: 0.38%
• Average annual spending on home improvements & repairs: $2,370 (Source: Harvard JCHS)
• Investment appreciation calculation
     o Average annual (tax-free) home price appreciation rate: 5.3% (Source: S&P/Case-Shiller)
     o Present value of the accrued interest on median price over 7 years

• Security deposit: $1,700, average California monthly rent (Source: RealFacts)
• Monthly payment annual rent increase:


% Inc

Avg Rent

Inland Empire



Los Angeles



Oakland MSA



Orange County






San Diego



San Francisco



Santa Clara






• Average of present value of accrued interest on starting rent over 7 years
• Monthly renter insurance cost: $22.5 (Source: Cost Helper)
• Investment appreciation calculation : 11.8% (Source: DJIA from FRED)
     o Investment = home down payment + security deposit
     o Capital gains tax rate: 15%
     o Present value of accrued interest on down payment and security deposit sum over 7 years

Top Searches