Free · No sign-up · California
Free Rent vs. Buy Calculator
Compare the true cost of renting and buying over 5 to 10 years, including appreciation, rent increases, selling costs and the opportunity cost of your down payment. Every assumption is editable.
- Total cost of renting
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- Net cost of buying
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- Equity after selling costs
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- Opportunity cost of your cash
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- Buying pulls ahead in
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- First-year monthly cost to own
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Estimate only. Not a loan offer, commitment, or financial, legal or tax advice. Figures are general and based on the numbers you enter.
Talk to Jay about these numbers
How to use it
- Pick how many years you expect to stay. This matters more than anything else.
- Enter today's rent and how much you expect it to rise each year.
- Enter the home price, down payment, the rate from your lender quote, taxes, insurance, HOA and maintenance.
- Set your assumptions for home value change, buying and selling costs, and what your cash could earn if invested instead. Try a cautious case, like 0% appreciation, too.
- Read the verdict and the chart, then share the link with anyone you are deciding with.
What the results mean
- Total cost of renting: All the rent you would pay over the period, with yearly increases.
- Net cost of buying: Down payment, closing costs and every monthly ownership cost, plus the opportunity cost of your cash, minus the equity you would walk away with after selling costs.
- Buying pulls ahead in: The first year when owning becomes cheaper than renting under your assumptions.
- The chart: Where the lines cross is your break-even point. If they never cross, renting comes out ahead for that time frame.
Frequently asked questions
How long do I need to stay for buying to make sense?
It depends on prices, rents and rates, but buying and selling costs mean short stays usually favor renting. Many Southern California scenarios need several years to break even. Test your own numbers above.
What is opportunity cost?
The money your down payment and closing costs could have earned if you had invested them instead of buying. The calculator grows that cash at the return you enter.
Does it include tax benefits?
No. Mortgage interest and property tax deductions depend on your tax situation and whether you itemize. Ask a tax professional.
Is home appreciation guaranteed?
No. Values can fall as well as rise. The appreciation rate is your assumption, not a forecast.
Related free tools
- Mortgage CalculatorMonthly payment with California property tax, insurance, HOA and PMI.
- Affordability CalculatorSee a price range from your income, debts and down payment.
- First-Time Buyer ChecklistAn interactive step-by-step checklist that saves your progress.
Talk to Jay
Questions about your numbers? Call or text Jay Romero, Broker (DRE 01343079), with over 25 years in Southern California real estate, at (949) 822-8702. Or use the form above and your numbers come along automatically.
