Owning includes 3% buying costs and credits equity growth; simplified — ignores tax deductions and selling costs.
Example: Monthly rent: $2,200 · Annual rent increase: 3% · Home price: $420,000 · Down payment: 20% → Cheaper over 7 years: Buying.
Total cost of renting: $202,289
Net cost of owning: $117,936
Equity built by owning: $230,559
Frequently asked questions
How do I calculate rent vs buy? Owning includes 3% buying costs and credits equity growth; simplified — ignores tax deductions and selling costs. Enter your numbers above and the result updates instantly. For example: Monthly rent: $2,200 · Annual rent increase: 3% · Home price: $420,000 · Down payment: 20% → Cheaper over 7 years: Buying.
Is this Rent vs Buy Calculator free? Yes — completely free with no sign-up or paywall. It runs entirely in your browser and keeps working offline; the numbers you enter never leave your device.
How accurate is it? It uses the standard published formula for rent vs buy. Results are estimates for planning — not financial, tax, medical, engineering, or legal advice.