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Buy vs. Rent Calculator

Finance

Compare the total cost of buying a home versus renting over a set number of years.

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$10,000.00$10,000,000.00
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$100.00$100,000.00
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Total Cost of Buying

$509,953

Down payment + total mortgage payments + property tax over the time horizon (excludes maintenance, insurance, and home appreciation).

USD

Total Cost of Renting

$184,800

Total rent paid over the same time horizon, assuming flat rent (no annual increases).

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Odeh Ahwal

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Odeh Ahwal
Reviewed and verifiedThis calculator was reviewed and verified by the Calcupedia due diligence team.

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Frequently Asked Questions

Does this account for home appreciation?

No, this simplified comparison focuses on direct cash outflows (down payment, mortgage payments, property tax) and does not factor in home value appreciation, which historically favors buying over long time horizons.

What costs are not included?

This calculator excludes homeowners insurance, maintenance costs, HOA fees, closing costs, and rent increases over time — all of which can meaningfully shift the comparison in either direction.

What time horizon makes buying worth it?

Buying generally becomes more favorable the longer you stay in a home, since upfront costs (down payment, closing costs) are spread over more years and built-up equity grows. Most financial advisors suggest 5+ years as a rough breakeven point.

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