Finance
Rent vs Buy Calculator
The true financial winner — renting or buying in your market.
In this article
The true cost of owning
A mortgage payment is only part of the cost. Add property taxes (~1.2%), maintenance (~1%), and homeowners insurance (~0.5%) — and a $400,000 home costs $800–1,200/month beyond the mortgage itself.
What this calculator doesn't include
- Home equity buildup (favors buying)
- Investment returns on down payment if rented (favors renting)
- Rent increases over time (favors buying)
- Flexibility and mobility (favors renting)
General guidance
💡 If you plan to stay under 3–4 years, renting almost always wins financially. Over 7+ years, buying typically wins through equity.
⚡ CalcWolf Insight
In 2026, buying is cheaper than renting on a monthly basis in only ~22% of US markets, down from 44% in 2020. Rising rates and home prices have made renting the financially rational short-term choice in most major cities.
Frequently asked questions
Is it better to rent or buy in 2026?▾
In most major US markets, renting has the lower monthly cost in 2026 due to high mortgage rates and home prices. Buying wins long-term (7+ years) through equity building and fixed payments.
✓ Math logic verified against primary sources
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