Finance · Free tool
Rent vs Buy Calculator
The classic question — is your rent "wasted"? Depends on appreciation, opportunity cost on down payment and your time horizon. We compute the net cost of both paths.
If you invest down payment instead.
Buy
Rent
Buy wins by ₹40,50,397 over 10 years.
FAQ
When does buying definitively beat renting?
Beyond 7-10 years horizon, with property appreciation ≥ rent escalation, when down payment doesn't crowd out emergency fund. In metros with 30+ price-to-rent ratio, the case is weaker.
Is rent really "dead money"?
No — it's the cost of optionality and zero capital lock-up. The down payment if invested at 11-12% can outpace property appreciation in stagnant markets.
What about emotional value of owning?
Real and not captured in this calculator. Stability, customisation, neighbourhood ties matter beyond IRR. The right answer for many is buy when financially close to break-even.