Finance
Rent vs Buy Calculator
Compare the total cost of renting vs. buying a home over time
FAQs
Is it better to rent or buy?
It depends on your local market, how long you plan to stay, and your financial situation. Generally, buying is better if you stay 5-7+ years, as equity growth usually offsets high transaction costs.
What is the break-even year?
The break-even year is the point when the total cost of buying (including closing costs and maintenance) becomes lower than the cumulative cost of renting.
What costs should I consider when buying?
Beyond the mortgage, consider property taxes, home insurance, maintenance (typically 1% of home value/yr), closing costs (2-5% of price), and future selling costs.