Buy vs Rent Calculator
Compare the long-term financial impact of buying a home versus renting.
home Buying Assumptions
apartment Renting Assumptions
Growth of deposit if renting
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Buying is better!
Gain £32,450 over 10 years
If you Buy
Future Home Value
£470,370
Remaining Loan
£205,000
Net Wealth (Equity)
£265,370
If you Rent
Total Rent Paid
£197,000
Investment Value
£114,000
Net Wealth (Invested Deposit)
£114,000
Wealth Comparison Over Time
Buy vs Rent: Key Considerations
sentiment_very_satisfied When Buying Wins
Buying is generally better if you plan to stay in the home for 5+ years. It allows you to build equity, benefit from property appreciation, and eventually live mortgage-free. It also acts as a"forced savings" plan.
sentiment_satisfied When Renting Wins
Renting offers flexibility and protects you from property market downturns and high maintenance costs. If the rental costs are significantly lower than mortgage plus maintenance, investing the difference can sometimes yield higher returns.