Rent vs Buy Calculator

It depends on your local market, how long you plan to stay, interest rates, and your financial situation. In general, buying makes more sense when you plan to stay 5+ years, home prices are appreciating, and mortgage rates are reasonable relative to rent costs. Our calculator models your specific scenario to give a personalized answer.

Most experts suggest staying at least 5–7 years to offset closing costs, moving expenses, and early mortgage interest. The break-even point varies widely by market — use our calculator to find your exact break-even year based on rent, home price, appreciation, and investment returns.

The break-even point is when the net worth of buying exceeds renting — accounting for equity buildup, home appreciation, closing costs, and the opportunity cost of your down payment. Our calculator highlights this point on the 30-year comparison chart with a dashed line.

Yes. Renting often wins when you plan to move within a few years, home prices are flat or declining, mortgage rates are high relative to rent, or you can invest your down payment at strong returns. Renting also avoids maintenance costs, property taxes, and the risk of housing market downturns.

Higher mortgage rates increase monthly payments and reduce affordability, which can make renting more attractive in the short term. However, if rates later drop and you refinance, buying at today's prices could still pay off. Use our 'What if rates drop to 6%' preset to model different rate scenarios.