Dupica Free valuation

Rent vs. buy calculator

Buying builds equity but costs more up front; renting keeps cash invested. See which leaves you wealthier and the year buying starts to win.

Free, no sign-up Rates checked October 2026

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How it's calculated

We assume you spend the same each month either way. If you buy, you pay the down payment and closing costs, then the mortgage, property tax, insurance and maintenance. If you rent, you invest the down payment and closing costs instead, and each month you also invest the difference between the owner's costs and your rent (or withdraw it, if rent is higher).

At the end we compare net worth: home value minus the remaining loan and selling costs, versus the investment balance. Assumptions are all yours to change; income taxes (such as the mortgage interest deduction or taxes on investment gains) are not included. The 30-year fixed loan term is assumed.

Frequently asked questions

How long do I need to stay for buying to make sense?

Long enough for appreciation and principal paydown to cover buying and selling costs. The calculator shows the break-even year for your numbers; with high closing and selling costs it is usually several years.

What is the price-to-rent ratio?

Home price divided by a year of rent for a similar home. The higher it is, the more renting tends to win in the short run. The calculator shows it for your inputs.

Does it include the mortgage interest deduction?

No. Many homeowners take the standard deduction and get no benefit from it, so we leave taxes out. If you itemize, buying looks a bit better than the calculator shows.

Sources

Results are estimates for information only and are not legal, tax or financial advice. Confirm the figures with your lender, title or escrow company and the county offices.

More calculators

Mortgage calculatorSee the real monthly payment, not just principal and interest: property tax, insurance, HOA and mortgage insurance included.How much house can I afford?Enter your gross income, monthly debts and savings. We find the highest price that keeps housing within 28% of income and all debts within 36%.Closing cost calculatorSee what the buyer and the seller each pay to close. Taxes and title premiums set by law are calculated for you; market fees are editable estimates.

See all calculators

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