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What this calculator does
This calculator adds up the true cost of renting versus buying over a set number of years. It includes rent, mortgage interest, property taxes, insurance, maintenance, and home appreciation.
The math
Rent cost = rent × 12 × years. Buy cost = down payment + mortgage payments + taxes + insurance + maintenance − estimated home appreciation.
Worked example
Renting at $1,800 for 10 years costs about $216,000. Buying a $400,000 home with 10% down, 7% mortgage, and 1.2% taxes can cost more or less depending on appreciation and selling costs.
Why this matters
Big purchases create years of follow-up costs. This calculator helps you weigh the true price before you sign.
Methodology and transparency
This page publishes the exact formula used to compute the result, so you can verify it in a spreadsheet or check the assumptions against your own situation. The worked example uses the tool default inputs; change any number and the result updates live in your browser. No data is sent or stored.
Common questions
Does this include home appreciation?
Yes. The calculator subtracts estimated appreciation from the buy cost.
What about selling costs?
The simplified model does not include realtor fees or closing costs. Add roughly 6–10% of sale price on your own.
Is renting always throwing money away?
No. Renting can be cheaper after accounting for maintenance, taxes, and the opportunity cost of a down payment.