Rent or buy
Compare renting and buying a home over the years you plan to stay.
The calculator compares what you'd own at the end in each case: the home's sale value minus the loan and selling costs, plus your savings. Whoever pays less each month invests the difference. The renter also invests the cash the buyer spends up front.
Result
After 15 years, buying leaves you €134,368 better off.
Buying comes out ahead from year 4.
Monthly mortgage payment€1,001
Cash needed up front€65,000
What the buyer owns at the end€281,604
What the renter owns at the end€147,236
Year by year
| Year | Buying | Renting | Difference |
|---|---|---|---|
| 1 | €56,159 | €70,866 | -€14,707 |
| 2 | €68,968 | €76,698 | -€7,730 |
| 3 | €82,191 | €82,486 | -€295 |
| 4 | €95,841 | €88,220 | €7,621 |
| 5 | €109,932 | €93,889 | €16,043 |
| 6 | €124,479 | €99,483 | €24,996 |
| 7 | €139,495 | €104,988 | €34,507 |
| 8 | €154,998 | €110,392 | €44,605 |
| 9 | €171,001 | €115,682 | €55,319 |
| 10 | €187,522 | €120,842 | €66,680 |
| 11 | €204,578 | €125,858 | €78,720 |
| 12 | €222,365 | €130,892 | €91,472 |
| 13 | €241,101 | €136,128 | €104,973 |
| 14 | €260,832 | €141,573 | €119,259 |
| 15 | €281,604 | €147,236 | €134,368 |
What this leaves out
- Tax on investment gains, and any tax relief on mortgage interest.
- Inflation. Amounts aren't adjusted for it, so later years are in future euros.
- Changes in mortgage rate. The rate is fixed for the whole loan.
- Moving costs, furniture, and what it's worth to you to own your home.
General information only, not financial advice. The result depends entirely on the numbers you enter. For a decision about your own home, talk to a qualified adviser.