Rent vs Buy Calculator

Compare the long-term cost of renting versus buying a home.

Total cost of buying
Total cost of renting
Difference

How Rent vs Buy Compares

This calculator adds up the total cost of buying (down payment + mortgage payments + maintenance + insurance + property tax - home appreciation) versus the total cost of renting (monthly rent with 3% annual increases). The one with the lower total cost wins over your chosen time horizon.

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Frequently Asked Questions

Is it always better to buy?

No. Buying is better if you stay 5+ years, have stable income, and the local price-to-rent ratio is reasonable. Renting is better for flexibility and in expensive markets.

What costs does this include for buying?

Mortgage payments, 1% annual maintenance, 0.5% insurance, 1.2% property tax, minus home appreciation. Real costs vary by location.

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