With mortgage rates around 6.5-7% in 2026, the rent vs buy decision is more nuanced than ever. This calculator helps you compare the real costs based on your specific situation — not national averages.
Shows total cash you pay over time (not including equity or investment gains)
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.
Buy Cost
$369,165.00
Rent Cost
$229,874.00
Difference
$139,291.00
Buying may cost more because your timeline is short or the upfront costs are too high.
| Year | Buy Cost | Rent Cost | Difference |
|---|---|---|---|
| 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 →
There is no universal right answer. If you plan to stay 7+ years and can afford the payments comfortably — buying still builds long-term wealth. If you're uncertain about your timeline or the payment strains your budget — renting is the smarter choice right now.
Estimates based on your inputs. Actual results may vary. Terms →