Hasebah

Rent vs Buy Calculator

Compare the long-term cost of renting vs buying a home and find the break-even year.

Decision calculatorFully localized assumptionsCountry-specificScenario comparisonInteractive chart

Last updated: 2026-06-03

Inputs

Input mode

Formula transparency

Source: default
netBuy = down + Σmortgage + Σupkeep − (equity − selling costs); vs Σrent

How to use it

  1. Enter your rent and expected annual increase.
  2. Enter the home price, down payment, mortgage rate, and term.
  3. Adjust maintenance, appreciation, and selling costs in advanced mode.

Example

  • Over 7 years, a high rent often makes buying cheaper once equity is counted; a short stay favors renting.

What the result means

Net buying cost is total cash out minus the equity you'd recover; break-even is the year buying becomes cheaper.

Common mistakes

  • Comparing rent to the installment only, ignoring maintenance and equity.
  • Using an optimistic appreciation rate.

Limitations

  • Very sensitive to rent growth and appreciation.
  • Not real-estate, tax, or investment advice.

Frequently asked

How is net buying cost computed?
Total you pay minus recovered equity (home value − remaining loan) after selling costs.
What is the break-even year?
The first year buying becomes cheaper than renting cumulatively.
Inflation?
Values are nominal; control rent growth and appreciation manually.
Default assumptions?
2% appreciation, 1% maintenance, 3% selling costs — all editable.
Is this real-estate advice?
No — an educational estimate. The decision depends on many personal factors.

Related calculators

Results are estimates and not professional advice. Verify important decisions with a qualified professional.