Buying carries heavy upfront and carrying costs that only pay off if you stay long enough to build equity. This tool weighs total rent against total ownership cost — net of the equity you'd walk away with.
30-year fixed term assumed.
Estimates property tax at 1.1%/yr, maintenance at 1%/yr, and insurance at 0.5%/yr of price; rent grows 3%/yr; selling costs ~6% of the future home value. A simplification, not financial advice. All math runs locally in your browser.
Total ownership outlay minus the equity (appreciation + principal paid) you'd keep after selling costs.
Buying front-loads cost: the down payment, closing, and the heavily interest-weighted early mortgage years all hit before equity has built. Sell too soon and the appreciation plus principal you've paid down can't offset those costs and the ~6% it takes to sell. Stay long enough and the math flips decisively in ownership's favor.
Drag the years slider and watch the two bars cross. The point where the emerald bar drops below the grey one is your personal break-even — the minimum stay that makes buying the cheaper choice on these assumptions.