Rent vs. Buy
Renting and buying each have costs that grow over time. Enter a home you are considering and a comparable rent to see the total paid each way over the years you expect to stay, along with the home equity buying could build.
About these numbers
Buying cost counts the down payment, principal and interest on a fixed-rate loan, and yearly ownership costs as a share of the home’s value. Equity assumes the home value grows at a steady rate and does not subtract selling costs. It leaves out closing costs, mortgage insurance, tax effects, and what the down payment or any monthly savings could earn if invested instead. Rates and growth figures are hypothetical.
This calculator is a hypothetical illustration for educational purposes only. Results are based on the assumptions you enter and the method described above, may vary with each use and over time, do not reflect any specific investment or the deduction of fees or taxes unless stated, and are not a guarantee of future results. The tool does not consider every investment, account type, or strategy that may be available to you. It is not investment, tax, or legal advice. Investing involves risk, including possible loss of principal. 4:8 Financial does not provide tax or legal advice; please consult your CPA or attorney regarding your specific situation.
Have a question about this?
A calculator can only go so far. We are happy to walk through your real numbers with you, at no cost.