# Rent vs. Buy Calculator

> Compare the financial impact of buying a home versus renting over a specific period.

Page: https://askcalculators.com/calculator/rent-vs-buy-calculator/
Definition: https://askcalculators.com/calculator/rent-vs-buy-calculator/definition.json
JSON Schema: https://askcalculators.com/calculator/rent-vs-buy-calculator/schema.json
Version: 8.0.0
Maintained by: AskCalculators (software project; not a credentialed reviewer)
Qualified review: pending. Automated checks do not establish professional approval.
Page status: Live
Review status: Pending

## Use
Open the calculator page and enter values. Query-string parameters can restore and bookmark a calculation.
Example: https://askcalculators.com/calculator/rent-vs-buy-calculator/?homePrice=400000&downPayment=20&interestRate=6.5&term=30&buyingCosts=3&sellingCosts=6&homeAppreciation=3&maintenance=1&propertyTax=0&insurance=0&hoa=0&extraPayment=0&monthlyRent=2500&rentIncrease=3&investmentReturn=7&years=7

## Inputs
- homePrice: Home price; type=money; required; default=400000
- downPayment: Down payment (%); type=percent; required; default=20
- interestRate: Mortgage annual rate (%); type=percent; required; default=6.5
- term: Mortgage term (whole years); type=number; required; default=30
- buyingCosts: Buying costs (% of price); type=percent; required; default=3
- sellingCosts: Selling costs (% of sale value); type=percent; required; default=6
- homeAppreciation: Annual home appreciation (%); type=percent; required; default=3
- maintenance: Annual maintenance (% of current value); type=percent; required; default=1
- propertyTax: Annual property tax ($); type=money; required; default=0
- insurance: Annual home insurance ($); type=money; required; default=0
- hoa: Monthly HOA ($); type=money; required; default=0
- extraPayment: Extra monthly principal ($); type=money; required; default=0
- monthlyRent: Initial monthly rent ($); type=money; required; default=2500
- rentIncrease: Annual rent increase (%); type=percent; required; default=3
- investmentReturn: Annual effective investment return (%); type=percent; required; default=7
- years: Comparison horizon (whole years); type=number; required; default=7

## Outputs
- result: Conditional comparison; format=text; primary
- ownerWealth: ownerWealth; format=currency
- renterWealth: renterWealth; format=currency
- difference: difference; format=currency
- loanBalance: loanBalance; format=currency
- scheduledPayment: scheduledPayment; format=currency
- equity: equity; format=currency
- totalInterest: totalInterest; format=currency
- totalBuyOutflow: totalBuyOutflow; format=currency
- totalRentOutflow: totalRentOutflow; format=currency
- ownerInvestment: ownerInvestment; format=currency
- renterInvestment: renterInvestment; format=currency
- payoffMonth: Payoff month; format=text

## Formula
Monthly: loan interest = balance × APR/1200; cap the last payment at principal plus interest. Invest the monthly cash-flow difference in the cheaper option. Owner terminal wealth = sale proceeds − remaining loan + owner investments. Renter terminal wealth = renter investments.

Fixed tax, insurance and HOA amounts; annual-effective growth rates; month-end deposits; sale at horizon. Taxes on investments, mortgage insurance and personal preferences excluded.

## Rules
- Empty optional inputs are undefined, not zero.
- Hidden conditional inputs are ignored.
- Do not invent missing required inputs.

Notice: Conditional scenarios, not a recommendation. Enter property tax, insurance and HOA; zero defaults do not imply these costs are absent.