Compare the total cost of buying and renting over several years. Under 3 minutes.
Example values — edit them to match your situation.
0 = financial outcome is my only priority. 5 = lifestyle, flexibility and personal preferences matter significantly.
If renting is less expensive than buying, this assumption estimates how the money not spent on the purchase (such as the down payment and monthly savings) could grow if invested.
Invest the money saved by renting
Once your values are entered, run the analysis below.
This analysis is based on the assumptions you provided. Adjust the parameters to explore different scenarios.
Estimated monthly payment: $2,157
This decision could save you $118,527 over 10 years.
Buying wins mainly because accumulated equity and home appreciation outweigh ownership costs and mortgage interest.
Best choice: Buy
Buying appears to be the better option.
The tool amortizes the mortgage, adds property taxes and maintenance, then subtracts the equity built (appreciated home value minus mortgage balance) to get the net cost of buying. The cost of renting is simply the monthly rent multiplied over the comparison period.
Decision Lab Studio is an educational decision-support tool. Results are based on user-provided assumptions and are not financial, legal, tax, or professional advice.
Click a star to rate (1 to 5).