Rent vs Buy Calculator

Compare the total cost of renting versus buying a home over time. See when buying breaks even and the long-term financial impact.

Free to use
12,500+ users
Updated January 2025
Instant results

Rent vs Buy

Winner
Buying
Advantage
$52.2k
Break-Even
5y

Strong Buying Advantage

After 10 years, you'd be $52,231 better off buying! You'll break-even in year 5.

Buy: Monthly
$2.6k
All-in costs
Rent: Monthly
$2.0k
Including insurance
Net Worth Diff
$52.2k
Buying ahead
Score
5/5
Buying Recommended

Amount: $70,000

Annual: $4,200

Annual amount

Monthly amount

Annual: $3,500

Amount: $10,500

Buying Summary

Initial Cash Needed:$80,500
Monthly Payment:$2,605
Mortgage P&I:$1,863
Property Tax:$350
Insurance:$100
Maintenance:$292

Year 5: $2,319

Annual amount

One-time (refundable)

Renting Summary

Initial Cash Needed:$4,000
Monthly Cost:$2,017
vs Buying:Pay $588/mo

Rent vs Buy Considerations

  • Time horizon: Need to stay 5+ years for buying to typically make sense
  • Job security: Stable income needed for mortgage approval and payments
  • Lifestyle flexibility: Renting offers easier relocation, buying builds equity
  • Market timing: Consider local real estate market conditions
  • Hidden costs: Buying includes maintenance, repairs, and transaction costs
  • Opportunity cost: Down payment could be invested elsewhere