Rent vs. Buy Calculator Online
Compare the total cost of renting versus buying a home over time, right in your browser. These are estimates only, not financial advice.
The Rent vs. Buy Calculator runs entirely in your browser. The rent, home price, rate and any tax, maintenance or appreciation figures you enter never leave your device. Results are estimates only, not financial advice.
Open the Mortgage Calculator
About Rent vs. Buy Calculator
Rent vs. Buy Calculator totals what you would spend renting against the net cost of buying over the same stretch of years, so you can see which one actually costs less. It sums monthly rent with a yearly increase, then compares it to a home's down payment, mortgage payments, property tax and maintenance, minus the home equity you would have if you sold at the end of the horizon. It is useful for anyone weighing a lease renewal against a home purchase, relocating for a few years, or just curious how appreciation and mortgage rates shift the math. These are estimates only, not financial advice — a standard 30-year mortgage amortization and flat percentage assumptions keep the model simple. Everything runs locally in your browser; your rent and home figures are never uploaded.
Features
- Compares total rent paid against the net cost of buying over a chosen horizon
- Grows the monthly rent by a yearly increase percentage, compounded
- Computes the mortgage payment with a standard 30-year amortization formula
- Adds property tax and maintenance as a percent of home price per year
- Subtracts the home equity you'd have at the end (value minus remaining loan)
- Shows which option is cheaper and by exactly how much
- One-click copy of a plain-text summary of every figure
- Runs entirely in your browser — your numbers never leave your device
How to use the Rent vs. Buy Calculator
- Enter your monthly rent and its expected yearly increase
- Enter the home price, down payment and mortgage rate
- Add property tax, maintenance and expected home appreciation
- Set the comparison horizon in years and read which option is cheaper
Example
Input
$2,000 rent vs $400k home, 7 yrs
Output
Buying is cheaper by ~$18,000
Common errors & troubleshooting
- The buy total looks too low compared to a real mortgage quote. — The tool nets out home equity — the value of the home you'd own minus any remaining loan balance — so only the true cost of interest, tax and maintenance shows up, not the full mortgage payments.
- Rent increase entered as a decimal (0.03) instead of a percent. — Enter the yearly rent increase as a percent, e.g. 3 for 3% per year, not 0.03.
- Down payment larger than the home price gives an error. — Keep the down payment at or below the home price, or leave it at 0 for a fully financed purchase.
- Result flips from 'buy' to 'rent' with a small change to the appreciation rate. — Home appreciation has an outsized effect on the buy side over long horizons — try a conservative and an optimistic rate to see the range of outcomes.
Frequently asked questions
- How does the Rent vs. Buy Calculator decide which option is cheaper?
- It sums total rent paid over the horizon (with a yearly increase) and compares it to the net cost of buying — down payment, mortgage payments, property tax and maintenance, minus the home equity you'd have if you sold at the end. Whichever total is lower is the cheaper option.
- What mortgage term does the Rent vs. Buy Calculator assume?
- It amortizes the loan over a standard 30-year fixed-rate schedule and counts only the payments made within your comparison horizon, then subtracts the remaining loan balance from the home's value to find your equity at that point.
- Does the Rent vs. Buy Calculator account for home appreciation?
- Yes. Set a yearly home appreciation percentage and it grows the home's value over the horizon before subtracting any remaining mortgage balance to compute your equity at the end.
- Is the Rent vs. Buy Calculator's result financial advice?
- No. It is a simplified estimate — a standard 30-year mortgage, flat tax and maintenance percentages, and constant appreciation — not financial advice. Always verify real numbers with a lender or advisor before deciding.
- Does the Rent vs. Buy Calculator upload my rent or home price?
- No. Every calculation happens locally in your browser. The rent, home price, rate and other figures you enter are not sent to ArrayKit or anywhere else.
- Why does a short comparison horizon usually favor renting?
- Over a short horizon, buying costs like closing-related cash outlay and interest are spread over fewer years while home equity has less time to build through appreciation and principal paydown, so renting often looks cheaper the shorter the stay.
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