Rent vs Buy Calculator
Compare the total costs of renting versus buying a home to make an informed housing decision over different time periods.
Home Purchase Details
£
£
20% of home price
%
£
£
£
Usually 1% of home value per year
Rental Details
£
%
£
Analysis Parameters
years
%
%
Return on invested down payment & monthly savings
Results will appear here
Enter your home purchase and rental details to see a comprehensive comparison.
Understanding Rent vs Buy Analysis
🏠 Buying Considerations
- Upfront costs: Down payment, closing costs, inspections
- Monthly costs: Mortgage, property tax, insurance, maintenance
- Long-term benefits: Equity building, potential appreciation
- Stability: Fixed housing costs, no rent increases
🏢 Renting Considerations
- Lower upfront costs: Security deposit, first month's rent
- Flexibility: Easier to relocate, no maintenance responsibility
- Investment opportunity: Invest down payment money elsewhere
- Rent increases: Annual increases reduce predictability
📈 Key Factors
- Time horizon: Longer periods generally favour buying
- Market conditions: Home prices and rental rates
- Interest rates: Higher rates increase buying costs
- Personal situation: Job stability, family plans
💡 Tips for Decision Making
- Consider your lifestyle and mobility needs
- Factor in opportunity cost of down payment
- Account for transaction costs when moving
- Consider tax implications in your area