Sensitivity Analysis
Tornado charts showing which input variable has the largest impact on the rent vs. buy answer.
Sensitivity Analysis
Tornado charts show which input variable has the largest impact on your rent vs. buy answer. Typically the biggest drivers are time horizon, home appreciation rate, and mortgage rate -- but it varies by market and scenario.
Each variable is tested at +/- one standard deviation from its expected value while holding all others constant. This shows you where uncertainty matters most and where small changes can flip the recommendation.