CM
CalcMoney
LoansInvestmentRetirementSalaryBlog

Related Calculators

Home Affordability Calculator

Find out how much house you can afford based on your income, debts, and down payment.

Try Calculator

Mortgage Calculator

Calculate your monthly mortgage payment with taxes, insurance, and PMI. See full amortization schedule.

Try Calculator

Debt-to-Income Calculator

Calculate your DTI ratio to see how lenders view your borrowing capacity.

Try Calculator

Compound Interest Calculator

Calculate how your money grows with compound interest. See year-by-year breakdown and growth charts.

Try Calculator
CM
CalcMoney

Professional financial calculators.

Calculators

  • Mortgage
  • Compound Interest
  • ROI

Categories

  • Loans
  • Investment
  • Retirement

Legal

  • Privacy
  • Terms

Calculators are for informational purposes only. Consult a financial professional for advice.

© 2026 CalcMoney. All rights reserved.

HomeLoansRent vs Buy Calculator

Rent vs Buy Calculator

Compare the true cost of renting versus buying a home over time.

Home Purchase Details

$400,000
$100,000$2,000,000
$80,000 (20%)
$0 (0%)$200,000 (50%)
%

Homeownership Costs

%
%
%
$

Renting Details

$2,000
$500$10,000
%

Growth Assumptions

%
%
%

Recommendation

After 10 YearsRenting is Better

You'd be $33,146 better off renting

Buying doesn't break even within 10 years. Renting may be better for shorter stays.

10-Year Cost Comparison

Total Cost to Buy$376,922
Total Cost to Rent$275,133
Buy Net Cost$112,511After home equity
Rent Net Cost$79,365After investments

Wealth Accumulation

Home Equity Built$264,411If you buy
Investment Balance$195,768If you rent & invest

Net Cost Comparison

Buy Net Cost
$112,511
Rent Net Cost
$79,365

Wealth Built Over Time

Home Equity
$264,411
Investment Balance
$195,768

Year-by-Year Comparison

YearHome ValueHome EquityInvestmentBuy NetRent Net
1$412,000$95,471$89,988-$12,600$65,988
2$424,360$111,528$100,291-$24,941$51,571
3$437,091$128,197$110,923-$37,009$36,741
4$450,204$145,503$121,896-$48,789$21,489
5$463,710$163,475$133,225-$60,267$5,806
6$477,621$182,142$144,925-$71,425-$10,317
7$491,950$201,536$157,012-$82,248-$26,888
8$506,708$221,689$169,502-$92,716-$43,914
9$521,909$242,635$182,415-$102,810-$61,404
10$537,567$264,411$195,768-$112,510-$79,365

Should You Rent or Buy a Home?

Understanding the true financial comparison between renting and homeownership

Key Factors in the Decision

How Long Will You Stay?

Buying typically makes more sense if you plan to stay 5+ years. The longer you stay, the more equity you build.

Local Market Conditions

In expensive markets, renting may be cheaper. In affordable markets, buying often wins.

Investment Opportunity Cost

Money spent on a down payment could be invested elsewhere. Compare potential returns.

Hidden Costs of Homeownership

  • •Maintenance & repairs (1-2% of home value annually)
  • •Property taxes (varies by location)
  • •Homeowner's insurance
  • •HOA fees (if applicable)
  • •Closing costs (2-5% when buying and selling)

Related Calculators

Embed This Calculator

Add this rent vs buy calculator to your website, blog, or WordPress site for free. No signup required.

Get Embed Code

Disclaimer

This calculator is provided for informational purposes only. The results are estimates based on the information you provide. Always consult with a qualified financial professional before making important financial decisions.