Renting vs. buying isn't just about the monthly payment — buying builds equity but comes with maintenance and upfront costs, while renting is flexible but builds no ownership stake. This calculator compares the net cost of both paths over your chosen timeframe.
How 'net cost of buying' is calculated
It's your down payment, plus every mortgage payment and maintenance cost over the period, minus the equity you'd have built — both from paying down the loan and from home price appreciation.
Why your timeline changes the answer
Buying usually involves upfront costs that take years to 'break even' against renting. Staying a shorter time tends to favor renting; staying longer tends to favor buying, since equity and appreciation have more time to build.
What this doesn't include
This model doesn't account for what you could earn by investing your down payment instead, closing costs, or renter's insurance vs. homeowner's insurance — real decisions should weigh those too.