Compare the cost of living in the home with the wealth you may keep, invest, or build—through the year you expect to move.
Your 7-year outlook
At the assumptions shown, renting leads by about $36,633. Buying reaches financial break-even not within 7 years.
$36,633
projected lead
Renting starts at
$3,215/mo
Rent, renter insurance, and utilities entered above.
Buying starts at
$4,518/mo
Mortgage and the complete homeowner expense assumptions.
Cash at purchase
$149,500
Down payment plus estimated buyer closing costs.
Net wealth over time
Year 7.0
Buy $283,278·Rent $319,911
Buyer equity in year 7
$331,243
$799,418 estimated home value less the remaining loan.
Estimated sale proceeds
$283,278
After the remaining mortgage and 6% selling costs.
Renter investment balance
$319,911
Down-payment cash and monthly savings invested at your assumed return.
What drives this result
Home appreciation and mortgage principal build buyer wealth over time.
The renter invests the cash not used for the down payment and closing.
Selling costs are deducted so a short ownership period is not overstated.
Decision cue: Change the time horizon first. It is usually the most important factor because buying costs need time to be recovered.
Designed for a real decision
The stronger choice depends on how long you stay, what you would invest, and the costs that do not appear in the listing price.
Compare the true monthly carrying cost of both paths.
See the home value, loan balance, and sale proceeds together.
Every growth rate and transaction cost remains editable.
Questions, answered
It estimates the renter's invested cash and monthly savings alongside the buyer's home value, remaining mortgage balance, invested monthly savings, and estimated sale costs. The result is a planning comparison of projected net wealth at the selected time horizon.
The buying path can include mortgage principal and interest, property tax, homeowner insurance, HOA dues, maintenance, renovations, purchase closing costs, and selling costs. Every assumption remains editable.
The renting path includes monthly rent, renter insurance, utilities not already included in rent, an optional one-time broker or leasing fee, and your assumed annual rent increase.
Opportunity cost represents what the renter's unused down-payment and closing-cost cash—and any monthly cost savings—might earn if invested. If renting becomes more expensive in a month, the calculator instead invests that difference for the buyer.
No. It is an optional simplified sensitivity estimate. Actual federal, state, and local tax treatment depends on itemization, deduction limits, filing status, income, and current law. The default tax savings assumption is zero.
No. The result is an educational scenario, not a forecast or recommendation. Housing markets, investment returns, rents, repairs, taxes, insurance, selling costs, and personal priorities can change materially.