Rent vs buy calculator
See what a buyer and a renter would each have after the same number of years, if both spend the same money every month. Everything is calculated on this device.
Buying minus renting, at the end−₹6,38,094
Above 0: the buyer ends with more under these numbers. Below 0: the renter ends with more.
Buyer
- Has at the end
- ₹80,17,080
- Property value at the end
- ₹1,22,16,710
- Loan still to repay
- ₹41,99,629
- EMI
- ₹52,069
- Paid in total (down payment, costs, EMIs, maintenance)
- ₹85,48,327
Renter
- Has at the end
- ₹86,55,175
- Rent paid in total
- ₹37,73,368
How it is calculated
Buy = property value at the end − loan left + money saved; Rent = money invested (down payment, costs and each month's saving)
Month by month: the buyer pays the EMI and maintenance, the renter pays rent. Whoever pays less that month invests the difference at the return you entered. The renter also invests the down payment and purchase costs from day one.
Assumptions
- The property value change and the investment return are your own guesses; small changes to them can flip the result.
- Fixed loan rate; rent rises once a year; selling costs at the end are not included.
- Before income tax: home-loan tax benefits and tax on investment gains are not included. For tax, ask a CA.
- This shows numbers only. It is not advice on whether to rent or buy.
For estimation only — verify with a professional.