Rent vs. Buy Calculator
Compare the true 5 and 10-year financial cost of renting vs. buying a home. Factors in equity building, appreciation, investment returns on your down payment, and all ownership costs.
Rent vs. Buy Calculator
Equity · Total cost · Net financial position
How This Rent vs. Buy Calculator Works
This calculator compares the true financial position of renting versus buying over your chosen time horizon. It accounts for all major costs and benefits on both sides.
What’s Included in the Buying Cost
The buying calculation includes mortgage principal and interest, property taxes, homeowner’s insurance, and annual maintenance costs. It subtracts the equity you build through both loan paydown and home appreciation to show your true net cost of ownership.
What’s Included in the Renting Cost
The renting calculation includes monthly rent (with annual increases), renter’s insurance, and models the growth of your down payment if invested in the market at your chosen return rate.
Beyond the Numbers
The right decision is not always purely financial. Buying offers stability, the ability to build long-term wealth, and freedom to customize your home. Renting offers flexibility, lower maintenance responsibility, and liquidity. Both have real value depending on your life situation and how long you plan to stay.
