Rent vs. Buy Calculator
Should you rent or buy? Compare the long-term financial impact of renting versus purchasing a home with our comprehensive analysis.
Rental Details
$
Year 5: $2,814/mo
%
Home Purchase Details
$
$80,000
%
P&I: $2,023/mo
%
Ownership Costs
$8,800/yr
%
$1,400/yr
%
$
$4,000/yr
%
Assumptions
annual
%
if renting & investing
%
yr
Our Recommendation
Buying is Better
Over 10 years, buying builds $13,294 more wealth than renting.
Break-Even Point
Buying becomes more profitable than renting after year 1.
Monthly Cost (Year 1)
Rent$2,500
Buy (all-in)$3,238
Difference$738 more to buy
Monthly Cost (Year 10)
Rent$3,262
Buy (all-in)$3,573
Net Worth at Year 10
Buyer Equity$266,283
Renter Portfolio$252,989
Advantage$13,294 buyer
Cumulative Cost Over Time
Total amount spent on housing over the years
Wealth Accumulation
Buyer's home equity vs. renter's investment portfolio
Estimates are for informational purposes only. Actual rates, payments, and qualification requirements vary by lender, credit profile, and market conditions. Consult a licensed mortgage professional for accurate figures.