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Money calculators

Rent vs Buy Calculator

Compare the estimated cost of renting vs buying a home over time. Enter rent, home price, down payment, mortgage rate and expected growth to estimate which option may cost less.

Basics
Renting
Buying
Results
Estimated better option
Estimated better to rent
Estimated difference
$117,988
Estimated net renting cost
$36,056
Estimated net buying cost
$154,044
Estimated home equity
$202,618
Estimated investment value if renting
$129,453
Estimated break-even year
No break-even found
Estimated monthly buy payment
$2,023
Estimated first-year rent cost
$21,600
This is an estimate, not financial advice. The buying estimate includes mortgage payments, taxes, insurance, maintenance, buying costs, and selling costs minus estimated equity. The renting estimate is adjusted against the estimated investment value of money not used for the down payment and buying costs.
Assumptions

Investment return and home appreciation use monthly compounding. Rent increases are applied once per year.

Property tax and maintenance are estimated monthly as a percentage of the home's estimated value during the period.

Empty optional insurance fields are treated as zero. Percentage values may be zero but not negative.

Estimated down payment: $80,000. Estimated buying costs: $12,000. Estimated net proceeds after selling: $173,101.

Runs in your browser with no account and no stored data

Browse category: Money calculatorsView this calculator in Svenska

How it works

How to use

Enter your monthly rent, home price, down payment, mortgage rate, ownership costs, and how long you expect to stay. The calculator compares the estimated cost of renting with the estimated cost of buying over the same period.

Formula

Buying cost includes mortgage payments, interest, taxes or fees, insurance, maintenance, buying costs, and selling costs, minus estimated equity. Renting cost includes rent, rent increases, and optional renter costs, with the unused down payment compared against a possible investment return.

Example

Buying can look expensive over a short period because the down payment, fees, and selling costs are paid early. Over a longer period, buying may become more favourable if the home value rises and the loan balance falls.

When it helps

Useful when deciding whether to rent or buy, comparing monthly rent with mortgage costs, testing different interest rates, estimating a break-even point, or understanding how long you may need to stay before buying makes financial sense.

What do you want to do next?

Next, check how quickly a deposit could grow with the savings goal calculator, compare percentage changes, or switch currency for another market.

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FAQ

What is the break-even point when renting vs buying?+

The break-even point is when the estimated cost of buying becomes lower than renting over the same period. It depends on mortgage rate, rent, down payment, home value growth, fees, maintenance, and how long you stay.

Does the calculator include maintenance and ownership costs?+

Yes. Use the ownership cost fields to include maintenance, insurance, taxes, fees, buying costs, and selling costs where relevant.

Is renting better than buying?+

Sometimes. Renting can be better for shorter stays, uncertain plans, or high interest rates. Buying can become stronger over time if the home value rises and the loan balance falls.