Finance

Rent vs Buy Calculator

Make an informed decision about renting vs buying by comparing total costs, equity building, and investment alternatives over time

Home Purchase Details

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Renting Details

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Comparison Settings

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Should You Rent or Buy? Find Out the Real Numbers

The rent vs buy decision is one of the biggest financial choices you'll make. Our calculator goes beyond simple monthly payment comparisons to show the true long-term costs of each option, including equity building, investment alternatives, and all the hidden costs of homeownership.

Understanding the Rent vs Buy Decision

Comparing rent to a mortgage payment doesn't tell the whole story. Homeownership includes property taxes, insurance, maintenance, and opportunity costs. Renting lets you invest the difference. Our calculator models both scenarios over time, accounting for home appreciation, rent increases, and investment returns to show which option builds more wealth.

Net Cost Comparison

Net Cost = Total Payments - Final Equity or Investment Value

How to Compare Renting vs Buying

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Common Use Cases

First-Time Home Buyers

Determine if buying makes sense for your financial situation and how long you need to stay to break even.

Relocating Professionals

Decide whether to buy or rent in a new city based on how long you expect to stay.

Investment Comparison

Compare building equity through homeownership vs investing in the stock market.

Financial Planning

Model different scenarios to understand the long-term financial impact of housing decisions.

Frequently Asked Questions

This calculator provides estimates based on the assumptions you enter. Real-world results depend on actual home appreciation, investment returns, rent increases, and costs. Use it as a planning tool, not a guarantee.