Rent vs Buy Calculator
Compare buyer equity with a renter's invested upfront capital and monthly savings, including editable purchase, mortgage, maintenance, moving and sale costs. The model reports the first buyer crossover within the selected horizon.
Your Scenario
Sale Proceeds = Future Property Value − Agent and Legal Sale Costs
Each month, whichever route costs less invests the difference at the selected return.
Home Mover: 0% on £0–£125k · 2% on £125–250k · 5% on £250–925k
Higher residential rates, where applicable: standard rate + 5 percentage points per band
(calculated annually over the comparison horizon)
Positive = buyer position is ahead over the horizon
Negative = renter position is ahead over the horizon
Comparison Results
| Buying | Renting |
|---|
Download the Full Excel Version
25-year projection, year-by-year equity tracking, and UK Rent vs Buy Guide — all included.
Download Excel — £14.99The question most people ask wrong
Most rent vs buy comparisons only look at monthly payments. The real comparison is much more complex — and much more interesting. Rent vs Buy explained in full
When you buy, the deposit and ownership-only upfront costs are committed to the property. The renter scenario invests equivalent available capital at the after-fee, after-tax return you enter. For illustration, £30,000 compounded at an assumed 7% for 10 years is about £59,000, but actual returns are uncertain. Test multiple return assumptions. Rent vs Buy Explained
A repayment mortgage reduces principal over time, while property-value changes affect the whole asset. Leverage therefore amplifies both gains and losses relative to the initial deposit. Compare net equity after the outstanding mortgage and selling costs; a gross property-price change is not the owner’s net return. HMO vs BTL
SDLT is an upfront ownership cost and can materially affect a short comparison horizon. Under current England and Northern Ireland rates, an eligible first-time buyer purchasing at £300,000 pays £0, while a standard-rate buyer pays £5,000. A standard £500,000 purchase produces £15,000 SDLT. The calculator applies the selected buyer category; verify eligibility and special transactions. SDLT Explained · Rent vs Buy Explained
The entered rent-growth assumption compounds monthly throughout the model. Test zero, lower and higher growth rates rather than treating one forecast as certain. The entered mortgage rate applies for the modelled period, so replace it with a blended or scenario rate if the initial fixed period ends before the comparison horizon. Rent vs Buy Explained
Upfront costs can make renting look better in early years, while repayment and price growth can move buying ahead later. There is no fixed crossover: the projection below derives it from your assumptions, including sale costs and investing the monthly difference. Rent vs Buy Explained
Numbers only tell half the story. Buying gives security, permanence, and freedom to decorate. Renting gives flexibility, no maintenance liability, and geographic mobility. A job change, relationship change, or city move can make the "financially better to buy" calculation irrelevant. This calculator handles the numbers — you handle the life decisions. If you’re buying to invest rather than to live, the BTL and HMO calculators are better starting points. HMO vs BTL