Rent vs Buy Calculator

The verdict

Buying beats renting if you stay at least 13 years.

Monthly mortgage payment (principal + interest): $2,128.97

How long will you stay? (years)

If you buy

Home price ($)

Down payment (%)

Closing costs (%)

Mortgage rate (%)

Term (years)

Property tax (%/yr)

Home insurance (%/yr)

Maintenance (%/yr)

HOA ($/month)

Home appreciation (%/yr)

Selling costs (%)

If you rent

Monthly rent ($)

Rent growth (%/yr)

Investment return on down payment (%/yr)

If you rent, the down payment goes into the market instead of a home. This is the assumed return.

Year by year

Year	Net cost — buy	Net cost — rent	Difference	Home value
1	$58,182	$20,880	−$37,302	$412,000
2	$80,126	$42,221	−$37,905	$424,360
3	$101,814	$64,026	−$37,787	$437,091
4	$123,228	$86,300	−$36,928	$450,204
5	$144,349	$109,044	−$35,304	$463,710
6	$165,155	$132,262	−$32,893	$477,621
7	$185,624	$155,955	−$29,669	$491,950
8	$205,732	$180,124	−$25,608	$506,708
9	$225,452	$204,768	−$20,684	$521,909
10	$244,757	$229,888	−$14,869	$537,567
11	$263,618	$255,482	−$8,136	$553,694
12	$282,002	$281,548	−$454	$570,304
13Break-even	$299,874	$308,080	+$8,206	$587,413
14	$317,198	$335,076	+$17,877	$605,036
15	$333,936	$362,528	+$28,592	$623,187

Net cost assumes you sell the home at the end of that year. Selling proceeds (home value − mortgage balance − selling cost) are subtracted from cumulative buying spend. Renting's net cost subtracts the gains on the equivalent down-payment-plus-closing dollars invested at the assumed return.