Rent vs Buy Calculator

Compare the total cost of renting vs buying a home over time to make the right decision for your situation.

Buying

$
20%
0%50%
6.5%
1%12%
1.2%
0%3%
1%
0.5%3%
3%
0%8%

Renting

$
3%
0%8%

Assumptions

7%
0%12%
10 yrs
5 yrs30 yrs

Renting saves you

$65,925

over 10 years

Net Cost of Buying

$157,313

Avg $3,530/mo out-of-pocket

Net Cost of Renting

$91,388

Avg $2,293/mo rent

Cumulative Net Cost Over Time

Frequently Asked Questions

Is it always better to buy than rent?
No. Buying makes sense when you plan to stay 5+ years, have a stable income, and local buy costs are reasonable relative to rents. In expensive markets with low rent-to-price ratios, renting and investing the difference can be financially better.
What costs should I consider when buying?
Beyond the mortgage, factor in property taxes, home insurance, maintenance (1-2% of home value per year), HOA fees, closing costs, and opportunity cost of the down payment.
How does the calculator compare rent vs buy?
It calculates the total cost of renting (including rent increases and investment returns on savings) versus buying (including mortgage payments, taxes, maintenance, appreciation, and equity buildup) over your chosen timeframe.

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