Buy vs. Rent Calculator

Buy vs. Rent Calculator – Make the Right Housing Choice

The decision to purchase or rent a house can be one of the largest financial choices you have ever made. The Buy vs. Rent Calculator allows you to choose between the two in a flash – giving you a clear understanding of which one better suits your budget, agenda and your lifestyle.

This convenient tool measures the financial cost of buying or renting in the long run so that you can make an informed choice in a definite and clear manner.

See The Real Costs of Buying vs. Renting

When you purchase a home you accumulate equity. You have flexibility when you rent, but you do not acquire ownership value. This calculator will breakdown both the choices to you, calculating the difference between the total cost, monthly payment, possible increase in home value and even tax advantages.

Simply fill in information such as home price, down payment, rent, interest rate on loan, and length of time – the Buy vs. Rent Calculator automatically analyzes both options so you can view which option suits you best.

Why Use the Buy vs. Rent Calculator?

Real estate choices are subjective, whereas this calculator makes everything objective. It displays the figures of the available options to be able to plan smart. Use it to:

Compare total homeownership cost/total rent paid.
Know the break even time when purchasing.
Determine the effect of property value appreciation on long-term gains.
Consider short-term and long-term housing benefits.
Feel secure and make a well-informed choice about your next action.

It is a straightforward but strong means to visualize the economic reality of your housing choice.

Designed for Everyone

This calculator works regardless whether you are a first-time homebuyer or are considering a move. It would suit anybody who wonders:

Should I continue to rent or should I buy?

You will have a compare-and-contrast view with easy-to-understand graphics – no complicated calculations and incomprehensible graphs. It is based on real-world financial reasoning that allows the calculator to provide results that you can rely on.

It is quick, clear and applicable to people of all ages.

How the Calculator Works?

The Buy vs. Rent Calculator takes into account several important financial factors such as home loan interest, rent inflation, maintenance, and anticipated growth of the property. It then computes the overall net cost of each option, and indicates which one will save you in the long run.

You can simply tweak the inputs, such as increase rate of rent or value of a home, to run through various situations. This flexibility will allow you to customize results to your market, lifestyle, and financial objectives.

What are the accuracy of the results?

The calculator applies common financial models to provide realistic estimates. Although this is an estimate, it will give you a picture of how things will be in the long run.

Does it involve property appreciation?

Yes. You may also estimate your anticipated annual rate of appreciation to determine the impact of home value on your total return.

Do I have the ability to compute varying types of loans?

Yes. The interest rate and term length can be manipulated to model any mortgage.

Does it take into account the increases in rent over time?

Absolutely. You are able to have a percent of increase in the rent yearly so that you can make precise comparisons over time.