MORTGAGE & HOUSING

Rent vs Buy Calculator: Should You Rent or Buy a Home?

Compare the real cost of renting versus buying over time. See your break-even point and understand which option makes more financial sense based on your situation.

Your Scenario

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Total Cost Over Time

Shows total cash you pay over time (not including equity or investment gains)

Renting is financially better in your scenario

After 7 years, your total out-of-pocket costs will be about $229,874.00 for renting and $369,165.00 for buying. Renting is the better financial decision here. The heavy upfront costs and interest from buying are not recovered within your 7-year timeline.

Break-even

Never

Buy Cost

$369,165.00

Rent Cost

$229,874.00

Difference

$139,291.00

Try different scenarios

What your results mean

This comparison shows both what you actually pay and your financial position over time. We separate two things: • what you pay out of pocket • what you build over time Buying is not always better. If you stay for a shorter period, renting is often cheaper. If you stay longer, buying may start to make more financial sense. The break-even point shows when buying starts to outperform renting.

Rent vs Buy: Decision Guide

If renting is better

Buying may cost more because your timeline is short or the upfront costs are too high.

  • →Keep renting for now
  • →Save for a stronger down payment
  • →Revisit the decision later

Year-by-Year Breakdown

YearBuy CostRent CostDifference
1$130,554.00$30,000.00$100,554.00
2$169,438.00$60,900.00$108,538.00
3$208,662.00$92,727.00$115,935.00
4$248,236.00$125,509.00$122,727.00
5$288,170.00$159,274.00$128,896.00
6$328,476.00$194,052.00$134,424.00
7$369,165.00$229,874.00$139,291.00
8$410,247.00$266,770.00$143,477.00
9$451,736.00$304,773.00$146,962.00
10$493,642.00$343,916.00$149,726.00

Estimates based on your inputs. Actual results may vary. Terms →

Frequently asked questions

Related scenarios

What to calculate next

Home Affordability Calculator

Most buyers use a home affordability calculator to estimate how much house they can realistically afford based on income, debt, and monthly budget.

Down Payment Calculator

Most buyers use a down payment calculator to estimate how much cash they need upfront and how it affects their monthly payment.

Should I Refinance? Calculator

Enter your current loan and new rate - get a clear yes/no decision with break-even analysis.

Learn More Before You Decide

Is It Better to Rent or Buy?

Learn when renting makes more sense and when buying may be the better long-term financial decision.

Is Now a Good Time to Buy a House?

Learn how to evaluate whether buying a home makes sense now based on affordability and timing.

This tool helps you compare scenarios and understand trade-offs. Your actual decision depends on your timeline, finances, and personal priorities.

Rent vs Buy Calculator - Compare the Real Cost of Renting vs Buying