Rent vs Buy Calculator

Compare your estimated monthly cost of renting vs owning by factoring in mortgage payment, taxes, insurance, HOA, and maintenance. Use it as a quick reality check before making a move.

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Inputs

Results

Renting is cheaper (monthly).

All-in buy (monthly)
$2,841
Rent (monthly)
$2,200
Buy − Rent
$641
Breakdown (buy)
  • Mortgage: $1,816
  • Property tax: $583
  • Insurance: $150
  • HOA: $0
  • Maintenance: $292
  • Down payment: $70,000

Tip: This compares *monthly cash cost* only. For a full model (equity, appreciation, tax effects), add a “5-year horizon” later.

How to Use This Rent vs Buy Calculator (Mini Guide)

Use this as a fast monthly cash-cost comparison. It’s a great first pass, then you can validate with longer-horizon factors like equity, appreciation, and opportunity cost.

Mini Guide
On this page

What this calculator compares

It compares your estimated monthly cash cost of buying (mortgage + taxes + insurance + HOA + maintenance) against your monthly rent.

Think of it as a “monthly reality check” — not a full wealth-building model.

Who this is for

First-time buyers deciding if ownership fits their monthly budget.

Renters comparing true ownership costs (especially taxes/insurance/HOA).

Anyone relocating who wants a quick, realistic monthly estimate.

How to enter inputs (fast + correctly)

Rent: use the rent you’d pay for a truly comparable home/location.

Interest rate: use a rate you can actually qualify for today (not a hopeful future rate).

Taxes + insurance: don’t guess if you can avoid it — these two swing outcomes the most.

Maintenance: 1%/year is a common baseline; older homes often need more.

Quick example (sanity check)

If buying shows cheaper than renting, re-check taxes/insurance/maintenance first — most “buy wins” results come from underestimating those.

If buying is higher, it doesn’t mean renting always wins — it may still be worth it if you’ll stay long enough and value stability/control.

Next steps after you run it

If you might move within ~3 years, be extra cautious — transaction costs can overwhelm benefits.

Get a real insurance quote and confirm local tax rate for a much more accurate comparison.

Try it with local assumptions

Pick a city:

FAQ

What does this Rent vs Buy calculator compare?
It compares your estimated monthly cash cost of buying (mortgage + taxes + insurance + HOA + maintenance) against your monthly rent.
Is buying always better if monthly cost is lower?
Not always. A full decision should include opportunity cost of the down payment, appreciation, and tax effects. This tool is a quick cash-cost benchmark.
What maintenance assumption should I use?
A common rule-of-thumb is 1% of home value per year, but older homes or deferred maintenance may be higher.