Should I rent or buy? Enter your own numbers. The calculator compares what you would be worth each year if you bought a home and sold it, against renting and investing the money you did not spend on owning. It runs in your browser and saves nothing.
Your result
Buying pulls ahead in year 9
$2,873Cost to own in month one: payment, tax, insurance, HOA, maintenance, and PMI if any.
$2,215Rent plus renters insurance in month one.
$2,023Principal and interest each month.
$92,000Cash at closing: down payment plus closing costs.
After 10 years, buying leaves you about $234,029 after selling costs and paying off the loan. Renting and investing the difference leaves about $222,268.
Net worth by year (selected years when the stay is long)
Year
Buy
Rent
Ahead
1
$70,857
$104,787
Rent +$33,930
2
$86,291
$117,665
Rent +$31,373
3
$102,330
$130,621
Rent +$28,291
4
$119,001
$143,643
Rent +$24,642
5
$136,332
$156,717
Rent +$20,385
6
$154,354
$169,826
Rent +$15,472
7
$173,101
$182,955
Rent +$9,854
8
$192,604
$196,085
Rent +$3,480
9
$212,901
$209,196
Buy +$3,705
10
$234,029
$222,268
Buy +$11,761
How to read the result
The year buying pulls ahead is the break-even point. If you expect to move before then, renting is likely the cheaper choice on these numbers. If you expect to stay well past it, buying is likely to build more wealth, assuming the inputs hold.
The model counts every owner cost you enter, the cash you tie up at closing, and what that cash could have earned if invested. It does not count income-tax effects, and it does not predict prices. See the method for each step.
Example inputs only. Your numbers will move the crossing point.
Questions
Is this rent vs buy calculator free?
Yes. It runs in your browser. Calculator inputs stay in your browser. The optional inquiry form is the only thing sent.
Why does renting win in the first years?
Buying has large one-time costs: the down payment and closing costs up front, and selling costs when you leave. Early on, most of each mortgage payment is interest. It takes time for appreciation and principal paydown to cover those costs.
Are the default numbers today’s market rates?
No. They are example inputs so the tool shows a result when it loads. Replace the rate with a quote from a lender and the price, taxes, and rent with numbers for your area.
If you want a person to talk through renting or buying where you live, talk to a real estate professional. The form is an inquiry only. This site does not name an agent or promise a call.
Talk to a real estate professional
Send an inquiry if you want a real estate professional to talk through renting or buying with you. Add your city, your timing, and whether you are leaning one way. This site is not a brokerage. It does not name an agent, and it does not promise that a specific person will call.
Should I Rent or Buy
