Rent vs Buy Calculator
Compare the true cost of renting versus buying a home over the years you plan to stay, accounting for the down payment, mortgage, taxes, upkeep, appreciation, and selling costs. Calculates in your browser.
Cheaper option
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Show the math
Both paths are totalled over the years you stay, then compared:
buy = down + closing + payments + costs − (sale − selling − loan left)
Buying carries large up-front costs that are recovered slowly through equity and appreciation, so the longer you stay the more buying tends to win. To keep things simple this does not model investing the cash a renter would save. Factor that in separately if it applies.
What this does
A rent vs buy calculator compares the true cost of renting against buying over the years you plan to stay. It accounts for the down payment, mortgage, taxes, upkeep, appreciation, and selling costs to show which is cheaper.
How to use it
- Enter your monthly rent and expected rent increases.
- Enter the home price, down payment, rate, and term.
- Add taxes, upkeep, appreciation, and how long you will stay.
- Read the total cost of each path over that period.
How it works
The tool totals everything you would spend renting over your horizon, then totals the net cost of buying (purchase and carrying costs minus the equity and appreciation recovered at sale) and compares the two.
Understanding your result
How long you stay matters most. Buying has large up-front costs recovered slowly through equity and appreciation, so longer stays favour buying while short stays usually favour renting.
Example
Buying a $400,000 home may cost more than renting for the first few years, but if it appreciates 3% a year, owners often come out ahead somewhere around years 5 to 7.
Sources & methodology
- Consumer Financial Protection Bureau, Owning a Home, Loan options and the homebuying process
- Freddie Mac, Primary Mortgage Market Survey, Weekly average mortgage rates
Last updated .
Frequently asked questions
How does the comparison work?
It totals everything you would spend renting over your time horizon, then totals the net cost of buying (purchase and carrying costs minus the equity and appreciation you recover when you sell) and shows which is cheaper.
Why does how long I stay matter so much?
Buying has large up-front costs (down payment, closing) that are recovered slowly through equity and appreciation. The longer you stay, the more buying tends to win; short stays usually favour renting.
Does this include investing the difference?
No, to stay simple it does not model investing the cash you would save by renting. Factor that in separately if a renter would invest the difference.
Is my data kept?
No. Everything is computed locally in your browser.
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