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Kevin Crampton Midland's Real Estate Educator

Rent or buy?

Renting isn't throwing money away, and buying isn't always cheaper. This compares the real cost of each over the time you plan to stay.

Renting
Buying

Of home price, per year.

Commission + transfer tax at sale.

Enter your rent and a home price to compare.

How this is figured

  • Renting: total rent paid over the period, increasing each year.
  • Buying: down payment plus all payments and ownership costs, minus the equity and appreciation you recover when you sell (after selling costs).
  • It does not include the investment return you might earn on the down payment if you rented, income-tax effects, or PMI.

This is an educational estimate. The result is sensitive to your assumptions, especially appreciation and how long you stay. Kevin can talk through your specific situation.