Why Use This Rent Versus Buy Calculator
The decision to rent or buy is one of the biggest financial decisions you’ll make. This rent vs buy calculator helps you:
- 💰 Compare Total Costs — see the full financial picture of each option.
- 📈 Understand Net Gains — account for home appreciation and investment returns.
- ⏱️ Find Your Break-Even Point — know exactly when buying becomes cheaper.
- 📊 Visualize the Comparison — see cost breakdowns and cumulative costs over time.
- 📜 Track Your History — save, review, and export past calculations to CSV or Excel.
- 🔒 100% Private — all calculations run locally; your data never leaves your browser.
Rent vs Buy Formula Used by This Tool
Buying Costs
Monthly Mortgage Payment = P × r × (1 + r)^n ÷ ((1 + r)^n − 1)
Total Buy Cost = (Down Payment + Total Mortgage Payments + Taxes + Insurance + Maintenance + HOA + Selling Costs) − Home Value at Sale
Renting Costs
Total Rent Cost = (Rent + Renters Insurance) × Months + Rent Increases − Investment Return on Down Payment
Break-Even Point
The break-even point is the month when Cumulative Buy Cost = Cumulative Rent Cost.
How to Use This Rent vs Buy Calculator
- Select your account currency from the picker in the site header.
- Enter the home purchase price and down payment.
- Enter the mortgage term, interest rate, property tax, insurance, maintenance, and HOA fees.
- Enter the monthly rent, renters insurance, and expected rent increase.
- Enter the expected home appreciation, investment return, inflation rate, and selling costs.
- Set the comparison period in years.
- The tool updates instantly — see the total costs, net gains, and break-even point.
Frequently Asked Questions
What is the Rent vs Buy Calculator?
It compares the total cost of renting a home versus buying one over a specific time period. It accounts for mortgage payments, taxes, insurance, maintenance, HOA fees, rent increases, home appreciation, and investment returns.
How is the break-even point calculated?
The break-even point is the month when the cumulative cost of buying becomes less than the cumulative cost of renting. Before this point, renting is cheaper; after this point, buying is cheaper.
What costs are included in the ‘Buy’ scenario?
The buy scenario includes mortgage principal and interest, property taxes, home insurance, maintenance, HOA fees, and selling costs (when you sell). It also accounts for home appreciation and the investment return on your down payment.
What costs are included in the ‘Rent’ scenario?
The rent scenario includes monthly rent, renters insurance, and rent increases. It also accounts for the investment return on your down payment (since you’re not using it for a down payment).
Is my data stored anywhere?
No. All calculations run locally in your browser. History and presets are saved in your browser’s localStorage — nothing is sent to a server.