Rent vs Buy Calculator
Rent vs Buy Calculator
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€
Verdict
Renting remains a better option by €0
Net Worth Projection
Net Worth (Buying) Net Worth (Renting)
Equity Gained
€0
Renter Savings (Invested)
€0
Total Rent Paid
€0
To Rent or to Buy? The Financial Breakdown
The decision to rent or buy is the biggest financial choice you will make. Our tool compares the total sunk costs of renting against the wealth-building potential of buying.
1The Impact of Inflation
Rent typically increases with inflation every year. Conversely, a fixed-rate mortgage locks your housing cost in place for decades, making it cheaper in real terms over time.
2Opportunity Cost of the Down Payment
When you buy, you tie up a large sum of cash. If you rented instead, you could invest that cash in the stock market. Our calculator factors in this opportunity cost.
We compare the total cost of renting (rent + inflation) versus buying (mortgage + maintenance + taxes) over a specific time horizon, factoring in opportunity costs.
This is the return you *would have earned* if you invested your down payment and monthly savings in the stock market instead of buying a home.
When you rent, your money is gone. When you buy, a portion of your payment reduces the loan balance, building wealth (equity) over time.
Rent typically increases with inflation every year. A fixed-rate mortgage payment stays the same, which effectively makes it cheaper over time as money loses value.