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Mortgage Calculators

Rent vs Buy Calculator

Compare the total cost of renting with the cost of buying over the same period, allowing for appreciation, maintenance and the equity you build.

Renting
$
%
Buying
$
$
%
years
%
%
years

Lower total cost

Buying

Total cost of renting
$183,899
Net cost of buying
$102,962
Equity at the end
$203,842
Difference
$80,937

Excludes selling costs and any investment return on the deposit if you kept renting.

Total cost over 7 years
RentBuy

How this calculator works

Buy cost = payments + running costs + deposit − (sale value − remaining balance)

sale value
the home's value after appreciation over your horizon
running costs
maintenance, tax and insurance as a share of value

Selling costs and the return you could earn on the deposit if invested are not modelled.

Important considerations

  • Short horizons usually favour renting because buying costs are front-loaded.
  • Appreciation is the least predictable input — test a pessimistic figure too.

Learn more

Terms used here

Frequently asked questions

Why can renting win even with rising rents?

Because interest, maintenance and transaction costs in the early years of ownership often exceed the equity built.

Disclaimer

Legamoney calculators are educational tools. Results are estimates based on the figures you enter and do not constitute financial, tax or legal advice.

Last reviewed 2026-08-01