Rent vs Buy Calculator (2026)
Trying to decide whether to keep renting or buy a home? Enter your rent, the home price, your down payment, and the mortgage rate. This calculator compares the average monthly cost of each option over the years you plan to stay and shows the break-even point where buying becomes cheaper. Everything runs in your browser; nothing is stored or sent anywhere.
Estimate updates as you type. Buying cost counts the mortgage, taxes, insurance, maintenance, and closing costs, minus an estimate of the equity (loan principal) you build. Renting cost grows each year by the increase you enter.
How the rent vs buy comparison works
The calculator builds two running totals over the number of years you plan to stay. On the renting side, it adds up each month of rent, increasing the rent every year by the growth rate you enter. On the buying side, it adds your upfront down payment and closing costs, then each month of the mortgage payment plus the monthly share of property tax, insurance, and maintenance. From the buying total it subtracts the equity you build as you pay down the loan principal, because that value is yours when you sell. Whichever running total is lower at the end is the cheaper option, and the break-even point is the first year buying becomes cheaper than renting.
Why the length of stay matters most
The single biggest factor in the rent vs buy decision is how long you stay. Buying has heavy upfront costs (the down payment, closing costs, and a lot of early interest), so renting is almost always cheaper in the first year or two. The longer you own, the more those upfront costs spread out, while rent keeps climbing year after year. That is why a fixed mortgage payment often wins over a long horizon. If your plans are uncertain or a move is likely within a couple of years, renting usually costs less and keeps you flexible.
Common questions
Does this account for home price appreciation?
This version focuses on the cash cost of each option and the equity you build by paying down the loan. It does not add home price appreciation or the investment return you might earn by keeping a down payment invested while renting. Those factors can shift the result either way, so treat the output as a baseline cash comparison.
Why does a long stay favor buying so strongly?
Upfront buying costs are fixed, so spreading them over more years lowers their monthly impact. At the same time, rent compounds upward every year. Over a long horizon, a steady mortgage payment plus growing equity usually beats ever-rising rent.
Is my data saved?
No. The calculation runs entirely in your browser. Nothing you type is stored, transmitted, or shared.
Method: builds year-by-year totals for renting (rent growing annually) and for buying (down payment and closing costs upfront, then mortgage principal and interest plus property tax, insurance, and maintenance), then subtracts the loan principal repaid as equity. The first year buying's cumulative cost falls below renting's is the break-even point. General references include published rent-vs-buy explainers from NerdWallet, Calculator.net, Zillow, and Fidelity. This is educational information, not financial advice.