Calcs4All

APR 23 · 2026

Rent vs buy calculator

Compare monthly rent against a monthly home-ownership cost estimate.

What this calculator covers

Compare monthly rent against a simplified monthly ownership-cost estimate built from mortgage payment, taxes, insurance, HOA dues, and maintenance.

The walkthrough is intentionally framed as a monthly carrying-cost comparison, not a full long-term wealth model with appreciation, taxes, or investment-return assumptions.

Frequently asked questions

When does buying usually beat renting?
Buying tends to win when you stay in the home long enough to amortize the upfront costs (closing, moving, initial repairs), when your total ownership carrying cost is comparable to or below local rent, and when you value the stability and optionality of owning.
Does this include maintenance and repairs?
Yes — the calculator applies an annual maintenance estimate as a percentage of home value, which is the standard way to model owner-occupied upkeep over time.
Does the comparison include home appreciation?
No. This is a monthly carrying-cost comparison, not a long-term wealth model. To compare total financial outcomes over many years, you also need to model price appreciation, investment returns on the down payment if you rented, tax treatment, and transaction costs when you sell.
Should I just pick the cheaper monthly number?
Not on its own. A small monthly difference can be outweighed by factors this tool doesn't capture: how long you'll stay, how much flexibility you need, whether prices are rising in your market, and how confident you are in your job and income.

Tool

Run the calculation

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RESULT · MONTHLY COST DIFFERENCE

â„–036

Primary result

$712.19

With the entered ownership assumptions, buying carries about $3,112.19 per month versus $2,400.00 in rent, or $712.19 more each month. This is a monthly carrying-cost estimate, not a full long-term wealth model.

Down payment amount
$85,000.00
Loan amount
$340,000.00
Monthly principal and interest
$2,093.44
Monthly taxes
$389.58
Monthly insurance
$150.00
Monthly HOA
$125.00
Monthly maintenance
$354.17
Total monthly ownership cost
$3,112.19
Monthly cost difference
$712.19

Step-by-step solution

  1. 1.Apply the down payment percent to the home price to get $85,000.00 down and $340,000.00 financed.
  2. 2.Estimate monthly ownership costs by combining principal and interest, property taxes, insurance, HOA, and maintenance for a total of $3,112.19 per month.
  3. 3.Compare that monthly ownership cost against the entered rent to get a monthly difference of $712.19.

Walkthrough

Visual walkthrough

Rent-versus-buy starts by modeling the monthly carrying cost of ownership, then compares that estimate against current rent. It does not model appreciation, investing, taxes, or long-term wealth outcomes.

  1. 01

    Split price into cash down and financed balance

    $425,000.00 × 20% = $85,000.00

    The down payment determines how much cash goes in up front and how much remains to finance.

  2. 02

    Build the monthly ownership stack

    Ownership cost combines mortgage principal and interest with taxes, insurance, HOA dues, and a maintenance reserve.

    $3,112.19 monthly ownership cost

  3. 03

    Compare against rent

    $3,112.19 - $2,400.00 = $712.19

    A positive difference means buying costs more per month under these assumptions; a negative difference means buying costs less per month.

    $712.19 more each month