Dynamic Rent vs Buy Calculator

Rent vs Buy Calculator

Move the sliders to compare total cost over your chosen time horizon.

Inputs

All values update live; use the sliders. (You can tap the numbers to type too.)

Purchase Price

Down Payment (%)

20%

Interest Rate (p.a.)

8.5%

Loan Term (years)

20y

Property Tax (%/yr)

Insurance (%/yr)

0.3%

Maintenance (%/yr)

1.5%

HOA (monthly)

Closing Costs (buy, %)

1.5%

Appreciation (%/yr)

Sell Costs (% of sale)

Horizon (years)

15y

Current Rent (monthly)

20,000

Rent Growth (%/yr)

Assumes rent increases at this rate every year.

Invest Return on Cash (%/yr)

Down payment + closing (if you rent) invested at this rate.

Results

Monthly Mortgage (EMI)

—

Principal + Interest

Total Cost — Buy (over horizon)

—

Includes EMIs, tax, insurance, maintenance, HOA, closing; less sale proceeds.

Total Cost — Rent (over horizon)

—

Total rents; less growth of invested cash.

Difference (Buy − Rent)

—

Assumptions: Yearly property costs scale with appreciated home value; rent grows monthly from the annual rate; investment compounds monthly; if horizon exceeds loan term, EMIs stop when the loan ends.

Quick Breakdown

Down Payment

—

Buy Closing Cost

—

Sale Proceeds (net)

—

Invested Cash (FV)

—

EMIs Paid (horizon)

—

Property Tax (total)

—

Insurance (total)

—

Maintenance (total)

—

HOA (total)

—

Gross Rent Paid

—

What is it & why use it?
Decide whether to rent or buy a house by comparing costs, EMIs, rent payments, and appreciation using our Rent vs Buy Calculator. This tool on Calci.in helps families and individuals compare financial implications of both options.

Formula (explained)
Compare:
Total Rent Paid = Monthly Rent × Years
Total Buying Cost = Down Payment + EMIs + Maintenance – Appreciation
Variables: Rent = monthly rent, Years = duration, EMI = monthly loan installment, Appreciation = property value increase.

Example calculation
Rent ₹20,000/month for 10 years → ₹24,00,000.
Buy: EMI ₹25,000 × 120 = ₹30,00,000 – Appreciation ₹10,00,000 → Net ₹20,00,000.

Benefits & use cases
Make informed property decisions
Understand long-term costs
Compare equity growth vs rental savings

Related calculators on Calci.in
Mortgage Calculator
Property Tax Calculator
Stamp Duty Calculator

External references (authority sources)
Investopedia – Rent vs Buy
NerdWallet – Rent vs Buy Calculator

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FAQs
Q1: Is renting always cheaper?
A: Not always, it depends on property appreciation and loan terms.
Q2: Why should I buy instead of rent?
A: Buying builds equity, renting does not.
Q3: Does location matter?
A: Yes, property appreciation varies by city and area.
Q4: Can I include tax benefits?
A: Yes, home loan tax deductions should also be considered.