Buy vs Rent Tool

Buy vs Rent Calculator BETA

How to Use This Tool

Adjust purchase, rent, and market settings to match your case.
We compare the present value (PV) of cumulative costs for buying vs renting.
Model includes mortgage amortization, PMI (if <20% down), taxes, maintenance/HOA, rent inflation, and the opportunity cost of the down payment invested when renting.
Itemized deduction logic uses mortgage interest + property tax (SALT cap at $10,000) vs the standard deduction.

Home Purchase

Home Price: $500000 Down Payment (%): 20% Interest Rate (%): 6.5% Loan Term (years): 30 Analysis Years: 30 Buying Closing Costs (%): 2% Property Tax (%): 1.5% Home Insurance ($/year): $2500 HOA Fee ($/year): $0

Market & Taxes

Maintenance (%/year): 1.5% House Appreciation (%/year): 3% Inflation (%/year): 2.5% Cost Increase (%/year): 3% Selling Closing Costs (%): 7% Alternative Investment Return (%): 5% Investment Tax Rate (%): 15% Federal Tax Rate (%): 25% State Tax Rate (%): 0% Cap Gains Exemption ($): 250000

Rent

Monthly Rent: $3000 Rent Increase (%/year): 3% Renter's Insurance ($/month): $15 Security Deposit: $3000 Upfront Cost (e.g., broker): $100 Extra Utilities for Buy ($/mo): $100