Rent vs Buy Calculator
Net cost of renting versus buying over your chosen time horizon, including stamp duty, equity built and the opportunity cost of your deposit.
Your scenario
Time horizon
Assumed annual return on your deposit in shares or ETFs if you keep renting. ASX 200 long-run average: ~8% p.a.
Buying looks better
Buying wins after year 1
Based on your 10-year scenario
After 10 years
Buying breakdown
Renting breakdown
Year-by-year comparison
Cumulative net cost; lower is better. Equity built offsets buying cost. A negative "Buying cost" means equity exceeds what you have spent.
| Year | Renting cost | Buying cost | Equity built | Winner |
|---|---|---|---|---|
| Year 1 | $29,400 | +$26,362 | $104,587 | Buy |
| Year 2 | $58,548 | +$12,997 | $140,759 | Buy |
| Year 3 | $87,429 | +$1,295 | $178,595 | Buy |
| Year 4 | $116,027 | $8,661 | $218,176 | Buy |
| Year 5 | $144,324 | $16,786 | $259,589 | Buy |
| Year 6 | $172,304 | $22,989 | $302,923 | Buy |
| Year 7 | $199,946 | $27,175 | $348,275 | Buy |
| Year 8 | $227,231 | $29,241 | $395,746 | Buy |
| Year 9 | $254,136 | $29,082 | $445,443 | Buy |
| Year 10 | $280,641 | $26,587 | $497,476 | Buy |
Assumptions: 30-year loan term, 10% deposit, standard buyer stamp duty, $1,500 lender fees + $1,500 conveyancing. Excludes council rates, insurance, maintenance (~1–2% p.a.) and strata levies, so buying costs are understated.
General Advice Warning
The information on this site is general in nature and does not consider your personal circumstances, financial situation, or needs. Before acting on any information, you should consider its appropriateness having regard to your own situation and seek professional advice from a licensed financial adviser, mortgage broker, accountant, or solicitor.
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