Mortgage
Mortgage Calculator
Estimate your monthly mortgage payment, including principal and interest.
Use CalculatorRent vs Buy
Compare what owning and renting might cost over the same period, using assumptions you choose.
How it works
Buying: the calculator adds up your down payment, mortgage payments, property tax, insurance, HOA and maintenance month by month.
At the end of each year it estimates your home equity after selling costs and subtracts it. It also adds the growth your down payment might have earned if invested instead (opportunity cost).
Renting: total rent paid, increasing once a year by the rent increase you enter.
Formula & methodology
Net cost of buying = cash paid + opportunity cost − equity after selling costs
- Equity
- Home value × (1 − selling costs) − remaining loan balance
- Opportunity cost
- Down payment × ((1 + return)^years − 1)
Purchase closing costs, taxes and tax deductions are not included.
The comparison is sensitive to appreciation, rent increases and investment return.
Illustrative example
$400,000 home vs $2,200 rent over 10 years
With 20% down at 6.5%, 3% appreciation and 6% selling costs, the calculator estimates equity and net buying cost year by year.
Try changing appreciation or the years compared to see how much the result moves.
Hypothetical figures for illustration only.
Frequently asked questions
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