Rent vs Buy Calculator

Should you rent or buy? Compare the true costs over time

Compare Options

Property Details

Property Price *

Deposit (%)

Interest Rate (%)

Loan Term (Years)

Monthly Costs

Current Monthly Rent *

Levies (if buying)

Rates & Taxes

Home Insurance

Maintenance

Growth Assumptions

Property Growth (%/yr)

Rent Increase (%/yr)

Investment Return (%/yr)

Years to Compare

How This Calculator Works

This calculator compares the financial outcomes of renting vs buying over time by considering:

Buying: Deposit, transfer costs, bond payments, levies, rates, insurance, maintenance, and property appreciation
Renting: Monthly rent (with annual increases) and investing the difference in the stock market

The comparison shows which option builds more wealth over your chosen time period.

Important Considerations

Factors Favouring Buying:

Long-term stability and security
Forced savings through bond payments
Potential rental income later
No landlord restrictions
Primary residence CGT exemption (R2m)

Factors Favouring Renting:

Flexibility to move
No maintenance responsibilities
Lower upfront costs
Can invest the difference
No property market risk

This calculator provides estimates only. Actual results depend on many factors including market conditions, interest rate changes, and personal circumstances.