How does the calculator decide a winner?

It simulates both paths month by month: the buyer builds equity through mortgage paydown and home appreciation, while the renter invests their down payment plus any monthly amount they save by renting instead of owning. Whichever ends up with more net worth at your chosen horizon "wins" for that scenario.

What costs does the buying side include besides the mortgage?

Property tax, home maintenance (both as a percent of home value per year), and annual home insurance, all added on top of the monthly mortgage payment — these are the ongoing costs a renter doesn't pay.

Why does the time horizon matter so much?

Buying has large upfront costs (down payment) that take years of appreciation and equity-building to outweigh. Over a short horizon renting often wins; over a long horizon, appreciation and mortgage paydown usually tip it toward buying — try different horizons to see where it crosses over.

Is my financial information sent anywhere?

No. Every calculation runs locally in your browser with JavaScript — nothing is transmitted or stored.

RENT VS. BUY CALCULATOR

Compare home equity against invested savings over time. Nothing leaves your browser.

Buying

Home price

Down payment %

Mortgage rate %

Loan term (years)

Property tax %/yr

Maintenance %/yr

Home insurance/yr

Home appreciation %/yr

Renting

Monthly rent

Rent increase %/yr

Investment return %/yr

Assumes the renter invests the down payment plus anything they save each month versus the buyer's costs.

Compare over 10 years

Buyer's net worth from home$266,283Monthly mortgage: $2,023

Renter's net worth from investing$223,866Starting with the down payment

Buying comes out ahead by $42,417 after 10 years.

How to use the rent vs. buy calculator

1
Enter the home price, down payment, mortgage rate, and term for the buying scenario, plus property tax, maintenance, insurance, and expected appreciation.
2
Enter your current monthly rent, expected annual rent increases, and the return you'd expect if you invested the difference instead.
3
Drag the time horizon slider to the number of years you plan to stay.
4
Compare the buyer's net worth (home equity) against the renter's net worth (invested savings) at that horizon.

Questions

How does the calculator decide a winner?: It simulates both paths month by month: the buyer builds equity through mortgage paydown and home appreciation, while the renter invests their down payment plus any monthly amount they save by renting instead of owning. Whichever ends up with more net worth at your chosen horizon "wins" for that scenario.
What costs does the buying side include besides the mortgage?: Property tax, home maintenance (both as a percent of home value per year), and annual home insurance, all added on top of the monthly mortgage payment — these are the ongoing costs a renter doesn't pay.
Why does the time horizon matter so much?: Buying has large upfront costs (down payment) that take years of appreciation and equity-building to outweigh. Over a short horizon renting often wins; over a long horizon, appreciation and mortgage paydown usually tip it toward buying — try different horizons to see where it crosses over.
Is my financial information sent anywhere?: No. Every calculation runs locally in your browser with JavaScript — nothing is transmitted or stored.