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Mortgage & Real Estate
Rent vs Buy Calculator
Compare the true financial outcome of renting vs buying over your chosen time horizon.
This rent vs buy calculator computes the net worth of both paths — renting and investing the difference vs buying a home and building equity. It accounts for mortgage interest, property taxes, maintenance, homeowner's insurance, annual rent increases, home price appreciation, and the opportunity cost of your down payment. Enter your details to find the break-even year — the point at which buying becomes financially superior to renting.
🏠 Home & Mortgage Details
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Fill in your details and compare the financial outcomes of renting vs buying.
Frequently Asked Questions
It depends on how long you plan to stay, local rent vs home prices, and your investment alternatives. Buying typically wins after 5–10 years due to equity accumulation and appreciation. Short-term, renting is usually cheaper once you factor in closing costs, property taxes, and maintenance.
Beyond the mortgage payment, homeowners pay property taxes (1–2% of value/year), homeowner's insurance (~$1,200–$2,400/yr), maintenance (1% of value/year), HOA fees if applicable, and closing costs (2–5% of purchase price).
The break-even year is when your net worth from buying (equity + appreciation) equals your net worth from renting (invested down payment + invested monthly savings). Before this point, renting may be financially superior; after it, buying is.