Rent vs Buy
Should you rent or buy? Depends on your horizon, expected appreciation and rent inflation. Compare both scenarios.
Inputs
Typical: 5–6% in consolidated areas, 3–4% if already saturated.
Verdict
Buy
In year 7 buying starts to cost less than renting.
- Cumulative rent cost
- Net buying cost
Use ←/→ to step through years. Home/End for ends.
Spent on rent
$4,189,675
Money you don't recover
Accumulated equity
$7,030,223
Yours at end of horizon
Starting in year 7, buying is cheaper than renting — including accumulated equity.
Quick rule of thumb: under 5 years, renting usually wins — closing costs and commissions haven't amortized. Above 7–10 years, buying usually wins thanks to appreciation and accumulated equity.