๐ Rent vs. Buy Calculator
This does not account for changes in property value โ it's a simple comparison of total cash paid. Consult a professional before making a real decision.
Enter your monthly rent, along with a home's purchase price, down payment, mortgage interest rate, loan term, annual property tax and maintenance costs, and a comparison period, to compare the total cash cost of continuing to rent versus buying a home over that period.
How to use
- Enter your current (or expected) monthly rent.
- Enter the home's purchase price, down payment, mortgage interest rate, and loan term.
- Enter annual property tax and maintenance costs and the comparison period (in years) โ the total cost of renting and buying are calculated automatically.
FAQ
Does this factor in home price appreciation?
No. Future changes in property value are highly uncertain, so this tool is designed as a simple comparison of total cash paid out. It does not account for the home's resale value.
How is the monthly mortgage payment calculated?
It uses the standard fixed-payment (amortizing) loan formula that computes a level monthly payment from the loan amount, interest rate, and number of payments.
What if the comparison period is shorter than the loan term?
Only the mortgage payments actually made within the comparison period are counted as buying cost (assuming the loan isn't paid off yet). Remaining loan balance and future resale value aren't included.