Rent vs. Buy Calculator
Should you rent or buy? This calculator factors in home price, rent, mortgage rate, property taxes, insurance, maintenance, opportunity cost, and appreciation to show which option wins for your specific situation.
Rent vs. Buy Calculator
Compare the true cost of renting vs. buying over time
Buying is ~$83,344 cheaper over 7 years (net of equity).
Does not include: mortgage interest tax deduction, maintenance (1-2% of home value/yr), HOA fees, PMI, closing costs (3-6%), or opportunity cost of investing the down payment. Rent includes projected annual increases. Results are estimates for educational purposes.
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Frequently Asked Questions
Is it cheaper to rent or buy in 2026?+
It depends on your market, how long you plan to stay, and current mortgage rates. In most markets, buying is cheaper after 5-7 years of ownership. But renting wins in the short term (under 5 years) because of closing costs, maintenance, and the opportunity cost of a large down payment.
What hidden costs does buying have that renting doesn't?+
Property taxes (1-3% of home value/year), homeowner's insurance ($1,500-3,000/year), maintenance and repairs (1-2% of home value/year), HOA fees ($200-500/month), closing costs (2-5% of purchase price), and the opportunity cost of your down payment invested elsewhere.
How long do I need to stay in a home for buying to beat renting?+
With current mortgage rates (6-7%), you typically need to stay 5-7 years for buying to be cheaper than renting. In expensive markets (NYC, SF), it can take 8-10 years. In affordable markets (Midwest, South), it can be as short as 3-4 years.
Is it cheaper to rent or buy in 2026?
It depends on your market, how long you plan to stay, and current mortgage rates. In most markets, buying is cheaper after 5-7 years of ownership. But renting wins in the short term (under 5 years) because of closing costs, maintenance, and the opportunity cost of a large down payment.
📖 Free guide
Rent vs Buy in 2026: The Honest Math That Decides It
Renting is not throwing money away. Whether buying wins depends on your price to rent ratio, how long you will stay, and what your down payment could earn invested. This guide shows the true cost of owning, the 5% rule, and how to find your break even date.
Read the full guide (13 min)Related Free Calculators
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