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Buy vs rent break-even calculator

How long before buying wins.

Built and reviewed by Dovanic, Founder and editor, FreeByteLast reviewed: 2026-08-18
$
$
$
6%
3%
4%

Buying wins after

2 years

Mortgage payment

$2,014.49

With these inputs, buying wins after comes to 2 years over 6 years. Mortgage payment works out to $2,014.49. The result assumes mortgage rate stays at 6%.

Upfront buying costs
$16,800
Rent for a year
$24,000

Over time · by mortgage rate

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Whatmakesequal

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How long before buying wins.

A worked example

Starting figures

Price
$420,000
Monthly rent
$2,000
Deposit
$84,000
Mortgage rate
6%
Property growth
3%
Buying costs
4%

What it returns

Buying wins after
2 years
Mortgage payment
$2,014.49
Upfront buying costs
$16,800
Rent for a year
$24,000

How to read the results

With the defaults above, buying wins after works out at 2 years.

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