Rent or buy?
Compare the bigger picture.
Compare the estimated cost of continuing to rent with the potential costs and equity of homeownership over time. Change the assumptions to see how your timeline can change the financial picture.
Compare both paths.
Start with your current rent, then enter the assumptions you'd like to use for purchasing a home.
Estimated difference after 7 years
Break-even compares estimated cumulative renting costs with estimated ownership cash outflows after accounting for estimated net equity. It is sensitive to every assumption entered above.
Monthly payment matters. Time changes the equation.
Renting Has a Cost
Rent and renters insurance represent housing expenses without creating ownership equity. Future rent increases can also change the longer-term comparison.
Ownership Has Costs Too
Mortgage payments are only part of ownership. Taxes, insurance, maintenance, HOA charges, mortgage insurance and transaction expenses can all affect the calculation.
Equity Changes the Picture
Part of a mortgage payment can reduce principal, while changes in home value can increase or decrease equity. Neither appreciation nor future market value is guaranteed.
Change the assumptions. See how the answer changes.
A rent-versus-buy calculation isn't a prediction. Try different timelines, rates, home prices, appreciation assumptions and rent increases. The goal isn't to make the calculator choose for you. It's to help you ask better questions.
This calculator is provided for general educational and planning purposes only. Results are estimates based solely on assumptions entered by the user and are not financial, lending, investment, tax or legal advice; a loan estimate; an appraisal; or a prediction or guarantee of future housing costs, rents, interest rates, property values or market conditions. The model does not account for every possible cost, tax consequence, investment opportunity, financing structure or individual circumstance. Actual mortgage payments, maintenance, taxes, insurance, mortgage insurance, HOA charges, transaction expenses and property values may differ. Consult appropriate qualified professionals regarding your individual circumstances.