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Rent vs Buy Calculator

Compare the estimated financial cost of renting versus buying a home.

Enter the home purchase and rental details in the white box. The blue box compares the estimated costs over your chosen comparison period and shows the financial difference between renting and buying.

Buy

Home price ($) Down payment ($) Mortgage interest rate (%) Mortgage term (years) Annual property tax ($) Annual home insurance ($) Annual maintenance (% of home value) Annual home appreciation (%)

Rent

Monthly rent ($) Annual rent increase (%)

Comparison period (years)

Initial monthly ownership cost $0

Initial monthly rent $0

Total buying cost $0

Total renting cost $0

Estimated home value $0

Estimated home equity $0

Financial difference $0

How the Rent vs Buy Calculator works

This calculator compares estimated housing costs over the comparison period you choose.

Buying costs include the down payment, mortgage interest, property tax, home insurance and estimated maintenance. Mortgage principal payments are treated as equity rather than a housing cost.

The estimated value of the home is calculated using the annual home appreciation rate entered. Estimated home equity includes the projected home value minus the remaining mortgage balance.

Renting costs are calculated using the starting monthly rent and the annual rent increase entered.

This is a simplified comparison for planning purposes. It does not include every possible cost or financial factor, such as closing costs, selling costs, HOA fees, mortgage insurance, investment returns, tax deductions or changes in property tax and insurance.