Rent vs Buy Home Calculator

Compare estimated net housing cost over the same time horizon, including home equity.

Monthly rent ($)Annual rent increase (%)Home price ($)Down payment ($)Mortgage APR (%)Mortgage term (years)Comparison yearsClosing costs ($)Tax + insurance + HOA ($/month)Annual maintenance (% home value)Annual home appreciation (%)Selling costs (% future value)

🧠 TUTORCALC EXPLAINS

Compare net cost, not only payments

Methodology

Rent is escalated annually by the entered rate. Buying includes down payment, closing costs, mortgage payments, taxes/insurance/HOA and estimated maintenance, then subtracts estimated owner equity after selling costs and remaining mortgage balance.

The model does not include opportunity cost, tax deductions, transaction-specific taxes, renovation costs or investment returns on money not used for a down payment.

FAQ

Does appreciation guarantee buying wins?

No. Appreciation is uncertain, and selling costs, financing, maintenance and the comparison horizon can materially change the result.

Why subtract equity?

Equity represents estimated value retained by the owner rather than consumed housing cost.