How This Rent vs. Buy Model Works
This calculator compares two simplified net-cost paths. Renting includes rent growth and the hypothetical future value of investing the down-payment cash. Buying includes the down payment, mortgage principal and interest, property taxes, insurance, HOA fees, a maintenance reserve, buying closing costs, home appreciation, and estimated selling costs at the end of the selected period.
The result is highly sensitive to assumptions. Investment returns and home appreciation are uncertain, maintenance can be lumpy, tax and insurance costs change, and actual transaction costs vary by location and deal structure.
Interpret the result as a scenario, not a recommendation
Change the appreciation, investment-return, maintenance, and transaction-cost assumptions to see how robust the result is before using it in a real housing decision.