Rent vs Buy Calculator
Make the smartest housing decision! Compare renting vs buying with real Indian market data, tax benefits, and investment opportunities.
Pro Tip: In India, buying often wins after 5-7 years due to property appreciation (6-8% annually) and tax benefits under Section 24(b) and 80C!
🏠 Recommendation: BUY
Buying is 37,336 more beneficial over 10 years
Break-even point: Year 1
Compare Your Options
Financial Comparison
Monthly EMI
$ 2.6K
For 20 years
Monthly Rent
$ 2.0K
Current rent
Break-even
Year 1
When buying wins
Net Benefit
+$ 37.3K
Buying advantage
Cost Breakdown
Property Value
$ 400.0K
Down Payment
$ 80.0K
Stamp Duty (5%)
$ 20.0K
Registration (1%)
$ 4.0K
GST (5%)
$ 20.0K
Legal Charges (0.5%)
$ 2.0K
Total Buying Cost
$ 126.0K
Rent vs Buy Comparison Over Time
Rent vs Buy in India: Key Considerations
When to BUY
Long-term Stay: Planning to stay 5+ years in the same city
Tax Benefits: Section 24(b) interest deduction up to ₹2L, Section 80C principal deduction up to ₹1.5L
Property Appreciation: Indian real estate typically grows 6-8% annually
Stability: No rent increases, no landlord issues, asset building
When to RENT
Job Mobility: Frequent job changes or uncertain location
Investment Opportunities: Better returns in stocks, mutual funds, or business
Lower Initial Cost: No down payment, no registration charges
Flexibility: Easy to relocate, try different areas
Year-by-Year Financial Comparison
Track the financial impact of renting vs buying over time
| Year | Property Value | Total Buying Cost | Total Renting Cost | Investment Value | Net Buying Benefit | Net Renting Benefit | Winner |
|---|---|---|---|---|---|---|---|
| 1 | $ 424.0K | $ 156.9K | $ 24.0K | $ 94.3K | $ 267.1K | $ 94.3K | Buy |
| 2 | $ 449.4K | $ 187.9K | $ 49.2K | $ 108.7K | $ 261.6K | $ 108.7K | Buy |
| 3 | $ 476.4K | $ 218.8K | $ 75.7K | $ 123.0K | $ 257.6K | $ 123.0K | Buy |
| 4 | $ 505.0K | $ 249.7K | $ 103.4K | $ 137.2K | $ 255.3K | $ 137.2K | Buy |
| 5 | $ 535.3K | $ 280.7K | $ 132.6K | $ 151.3K | $ 254.6K | $ 151.3K | Buy |
| 6 | $ 567.4K | $ 311.6K | $ 163.2K | $ 166.4K | $ 255.8K | $ 166.4K | Buy |
| 7 | $ 601.5K | $ 342.5K | $ 195.4K | $ 183.1K | $ 258.9K | $ 183.1K | Buy |
| 8 | $ 637.5K | $ 373.5K | $ 229.2K | $ 201.4K | $ 264.1K | $ 201.4K | Buy |
| 9 | $ 675.8K | $ 404.4K | $ 264.6K | $ 221.5K | $ 271.4K | $ 221.5K | Buy |
| 10 | $ 716.3K | $ 435.3K | $ 301.9K | $ 243.7K | $ 281.0K | $ 243.7K | Buy |