03 / RENT VS BUY
Rent vs Buy Calculator
Compare the true financial outcome of renting versus buying over time, accounting for equity, investment returns, and opportunity cost.
Mortgage Planning Cluster
Use this hub to move from the core repayment formula into affordability, offset, overpayment, and rent-versus-buy comparisons without leaving the mortgage cluster.
Buying
15%
Renting
Comparison Period
Verdict after 10 years
Better financial outcome
Renting
Net Worth Difference
£117,211
advantage to renting
Break-even
Not reached
within 10 years
Buy: Home Equity Built
£254,212
Buy: Total Cost Paid
£338,432
Year-by-Year Net Position
Yr
Buy net position
Rent net position
Buy
Rent
Y1
-£20,953
£60,723
Y2
-£30,788
£58,310
Y3
-£39,981
£55,752
Y4
-£48,510
£53,040
Y5
-£56,347
£50,166
Y6
-£63,468
£47,119
Y7
-£69,845
£43,889
Y8
-£75,449
£40,466
Y9
-£80,251
£36,837
Y10
-£84,220
£32,990
* Net position = equity/investments minus cumulative costs. Buying includes 3% buying costs, 1.2% property tax, 1% maintenance p.a.
Cluster Hubs
Use these organising pages when you want the main calculators and supporting guides for this topic grouped in one place.
Related Calculators
Move sideways to closely related calculators without leaving the same topic cluster.
Use the Mortgage RepaymentMonthly payment, total interest, and full cost over any term.Use the Mortgage AffordabilityThe maximum you can borrow based on income, deposit, and stress test.Use the Offset MortgageHow savings reduce mortgage interest and shorten your term.Use the Mortgage OverpaymentInterest saved and years removed by paying extra each month.
Related Guides
Use these supporting explainers when you need the formula, assumptions, or decision framing behind the numbers.
Read Buy To Let YieldRead Australia Rent vs Buy ExampleA localized housing example for Australian users, focused on how borrowing cost, deposit size, and long-run ownership assumptions interact in a market where the all-in comparison matters more than slogans.Read Break-Even Years in Rent vs Buy: What the Number Is Actually ComparingExplains what a rent-vs-buy break-even point means, what assumptions move it most, and why the number is best treated as a sensitivity result rather than a universal rule.Read Buy Now or Save a Bigger Deposit? Rent vs Buy Needs This Question TooConnects the deposit-timing problem to the rent-vs-buy decision by comparing the cost of waiting with the financing improvement a larger deposit may deliver.