Should You Rent or Buy a Home in 2026?

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100% Free Results in 60 Seconds Plain English — No Jargon

Used by homebuyers across all 50 US states

How it works

A quick calculator built for US homebuyers with real home buying and renting costs.

1

Tell us your numbers

Enter your home price, rent, and how long you plan to stay. Takes about 60 seconds.

2

We do the math

Our calculator runs the full financial comparison including mortgage, taxes, PMI, and opportunity cost.

3

Get your answer

See clearly whether renting or buying saves you money, with a plain English explanation of why.

Calculator

Quick start with a US city preset or enter your own numbers below.

Quick start — pick your city:

How much does the home cost?

$

Check Zillow or Realtor.com for the listing price

$450,000

What is your monthly rent right now?

What you currently pay — or would pay — to rent a similar home nearby

How long do you plan to stay in this home?

Be honest — moving early is expensive and can wipe out any savings from buying

How much have you saved for a down payment?

$

Most US loans need at least 3% to 20% of the home price

$90,000That is 20% of the home price

What is the current mortgage interest rate?

6.8%

Google 'current 30-year mortgage rate' — right now it is around 6.8%

Detailed settings

Your Renting Costs

Annual rent increase (%)

3.0%

Rents in the US go up about 3% each year on average.

Security deposit ($)

Usually 1 to 2 months rent paid upfront to your landlord.

Renter's insurance ($/month)

Protects your belongings — usually $15 to $30 per month.

Broker/agent fee ($)

Some landlords charge a one-time fee to find you the rental.

Your Buying Costs

Loan term

Property tax rate (%)

Find your rate at your county assessor website — US average is 1.1%.

Annual home insurance ($/year)

Required by lenders — US average about $1,800 per year.

HOA fee ($/month)

Some neighborhoods charge a monthly homeowners association fee.

Annual maintenance (% of home value)

Budget 1 to 2% of home value per year for repairs.

Annual home appreciation (%)

3.5%

US homes have grown about 3 to 4% per year historically.

Moving costs ($)

The cost of moving your belongings into the new home.

Selling costs (%)

Real estate agents typically take 5 to 6% when you sell.

Closing costs (%)

One-time costs when you buy — typically 2 to 3% of home price.

Financial Settings

Investment return (%)

What your down payment could earn invested in the stock market instead. US market has averaged about 7% per year.

Tax filing status

Affiliate recommendations

Helpful partner options based on your result.

Advertising disclosure: Rent or Buy Calculator may receive compensation when you click partner links above. This does not influence our calculator results in any way.

Rent or Buy in Your City

Every US city is different. Click your city to use local property tax rates and typical home prices.

Why Rent vs Buy Is the Most Important Money Decision You Will Make

The old rule — buying is always better — is no longer true

In 2026, high interest rates mean homeownership is not always cheaper than renting. Many US cities still have lower monthly costs for renters, so the best choice depends on your exact numbers instead of an old rule of thumb.

How long you plan to stay matters more than anything else

Buying has upfront costs that take time to recover. If you move after 3 or 5 years, you may leave before those fees and closing costs are paid back. That is why the break-even year is the most important part of the comparison.

Your down payment has a hidden cost most people forget

Money in a down payment is not free — it could grow in the stock market instead. This calculator counts that opportunity cost so your rent versus buy comparison is fair and easier to understand.

Simple Answers to Common Questions