Rent vs. Buy Calculator

Should you buy or should you rent? Only you can answer that question, but our Rent vs Buy Calculator will help you make this important financial decision. We’ll take the important costs associated with renting each month and compare with the complexity of buying a home, so you know which decision is best based on your situation.

Home Information
Total Costs

Target Home Price

What is an amount you’re comfortable paying for a home?

Down Payment

You can enter any number or percentage. Some programs allow down payments as low as 3%. Just remember, the more you put down, the less your payment will be.

Mortgage Rate

We’re using the current average mortgage rate to calculate payments. Your actual rate may vary depending on credit score, loan type and other factors.

Current Rent

How much per month are you paying for rent?

CALCULATE

Our estimate will improve as you enter more details below:

Additional Homeownership Costs

Annual Homeowner’s Insurance Premium

Average annual premium insurance typically costs between $300 and $1,000. For a more precise estimate, divide your home cost by 1,000 and multiply by $3.50.

Monthly Utilities

Utilities costs may include electricity, water, gas, internet and more. Estimate how much you would spend in utilities and enter that number here.

Monthly HOA/Condo Fees

HOA fees can run between $20 and $400 per month. If you’re interested in purchasing a home with an HOA/Condo fee, enter that monthly cost here.

Annual Maintenance Costs

Maintenance costs can vary year to year. Setting aside 1% of your home purchase price is recommended.

Property Tax

Property taxes may vary based on the county your home resides in. You can calculate property tax by dividing the county’s tax rate with the target cost of your home.

CALCULATE

Additional Rent Costs

Monthly Renter’s Insurance Premium

The average cost for renter’s insurance is between $10 and $15 per month.

Annual Rent Increase

Annual rent increases vary based on location, landlord and the area’s supply and demand.

Monthly Utilities

Utilities costs may include electricity, water, gas, internet and more. Estimate how much you would spend in utilities and enter that number here.

CALCULATE

Other Factors

Home Price Increase

We entered the current average home price increase percentage in America. You can change to any percentage to compare costs.

Income Tax Rate

Taxpayers may pay anywhere between 10% and 39.6% income tax depending on which tax bracket they fall under. This box is currently shows the average of all income tax rate brackets.

CALCULATE

These calculations are tools for learning more about the mortgage process and do not constitute an offer or approval of credit. Contact a PrimeLending home loan expert for actual estimates.

Here is your estimated costs of renting vs buying based on the numbers you provided. Want to see more options? Just enter new numbers to calculate and compare.

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