Rent vs Buy
Enter your target home price, rent, and assumptions.
Better option
Buy wins by $0
Buy net worth: $0 · Rent net worth: $0
Buy monthly payment
$0
Buy net worth after 10 yrs
$0
Rent net worth after 10 yrs
$0
Total rent paid
$0
Home equity after 10 yrs
$0
Breakeven year
0
Worked example
With the default inputs shown below, this calculator returns the following results:
| Input | Value |
|---|---|
| Home price ($) | $400,000 |
| Down payment (%) | 20% |
| Mortgage rate (%) | 6.5% |
| Monthly rent ($) | $2,000 |
| Annual rent increase (%) | 3% |
| Home appreciation (%) | 3% |
| Investment return on savings (%) | 7% |
| Time horizon (years) | 10 |
| Result | Value |
|---|---|
| Better option | Buy wins by $116,296 |
| Buy monthly payment | $2,873 |
| Buy net worth after 10 yrs | $266,283 |
| Rent net worth after 10 yrs | $149,987 |
| Total rent paid | $275,133 |
| Home equity after 10 yrs | $266,283 |
Values shown are produced by this page in your browser; change any input to update them.
How to use the Rent vs Buy
- Home price ($) — default $400,000
- Down payment (%) — default 20%
- Mortgage rate (%) — default 6.5%
- Monthly rent ($) — default $2,000
- Annual rent increase (%) — default 3%
- Home appreciation (%) — default 3%
- Investment return on savings (%) — default 7%
- Time horizon (years) — default 10
- Press Calculate to update the results instantly.