I am planning to use Leviton Cat5e jacks for my home wiring project. Do I need the Rapid Jack tool to install the jacks on the cable? I don't think so but I'm not sure

No, you don't need the Rapid Jack tool. Any punch-down tool will work. The Rapid Jack tool would be faster, but not worth the investment if you are only doing a few jacks. I use a Rapid Jack tool frequently on large installations.

That's what I thought. Can you recommend a punch down tool? About how much does a punchdown tool cost?

I use a Fluke D914S punch down tool, which is a commercial grade tool. They cost around $60 at Home Depot. They usually carry a cheap lightweight model made by Ideal at Lowes for around $20. The Ideal tool should be fine for home use. Sometimes the 10-packs of Leviton jacks has a small plastic tool included, which is suitable for punching the wire into the slots, but you must cut the excess wire away with snips. The regular punch down tools punch the wire and cut it at the same time.

Thanks for the info! Just out of curiosity, will the Rapid Jack tool work on the other end of the cable? I mean can it be used to connect the cable to the patch panel?

No. The jacks must be inserted into the tool to terminate. The patch panel can not be inserted into the tool so a regular punch down tool should be used. I would recommend the blue and red punch down tool made by Ideal for home use. It usually cost around $30-$40 at Lowes and will make good slolid connections. I know some techs which use the Ideal red and blue every day. the tips are interchangeable between the Fluke and Ideal tools.