Rent vs Buy Calculator
Compare the total cost of renting against buying a home over the years you plan to stay.
How the comparison works
Buying costs the down payment, buying costs, mortgage payments and yearly carrying costs, minus what you get back when you sell (the sale price less your loan balance and selling costs). We also count what your down payment could have earned if invested instead. Renting costs the rent, which rises each year.
Limits
This is a simplified model. Taxes, mortgage-interest deductions, repairs and market swings can change the result. The longer you stay, the better buying usually looks.
Worked example
Last reviewed November 2026. Formulas are standard and shown in the sections above; results are estimates.
Tips and common mistakes
- Staying fewer than 5 years usually favours renting.
- Test a lower home price growth to stress the result.
- Include real maintenance costs in the percentage.
Learn more
Frequently asked questions
How long should I stay for buying to win?
It depends on prices and rates. Try different stay lengths in the calculator.
Does it include tax deductions?
No. Those depend on your country and situation.
What percentage for upkeep and tax?
About 1-1.5% is property tax and 1% maintenance, plus insurance. Use what applies to you.
Money guides for this topic
All guides →Emergency Funds and Rent vs Buy: Two Big Early Decisions
How many months of cash to hold, and how to compare renting with buying using total cost rather than gut feeling.
Read guide →Buying a Home or Car: The Math Before You Sign
How to work out what you can really afford for a home or car, using simple rules and real numbers.
Read guide →How Loan Interest Really Works
Understand APR, amortization and why early payments are mostly interest, with tips to pay less.
Read guide →Related calculators
Mortgage Calculator
Estimate your full monthly mortgage payment including property tax and home insurance.
Open calculator →How Much House Can I Afford?
Estimate the home price you can afford from your income, debts and down payment.
Open calculator →Refinance Break-Even Calculator
See if refinancing a loan saves money and how many months it takes to break even.
Open calculator →Results are estimates and not financial advice.