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Rent vs Buy Calculator

Compare estimated costs of buying and renting over a period you choose. Results depend on your assumptions for rent, home costs, price changes and investment returns.

With the current inputs, estimated monthly ownership costs are CHF 1’782.09 and starting rent is CHF 2’200.00. These are editable scenario assumptions, not a market average or financial recommendation.

🇨🇭 Switzerland · CHF

🏡 Home Purchase Details

Ownership

Starting values are illustrative, editable assumptions—not local market averages or a recommendation.

CHF

🏢 Rental & Market Investment

Renting
CHF
Ownership Friction & Taxes ▼

Defaults to 0%; enter a benefit only if it applies to your tax situation.

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Net Wealth Advantage at Year 10 buy Wins

CHF 246’616.02

Buying generates higher estimated net worth after home equity and any invested monthly savings are combined.

Break-Even Horizon: Year 2 is when the estimated buyer net worth first exceeds the renter net worth.
Buyer Net Worth

CHF 426’736.30

Equity after sale costs plus investments
Renter Net Worth

CHF 180’120.28

Invested portfolio
Monthly Buyer Cost

CHF 1’782.09

P&I, tax, insurance, PMI, HOA & upkeep
Starting Rent

CHF 2’200.00

Year 1 monthly rent
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Net Worth Trajectory Over Time

Year-by-Year Financial Progression

Tracking home appreciation, declining mortgage balance, buyer equity, and renter investment compounding.

Year Property Value Mortgage Debt Buyer Net Worth Renter Net Worth Net Advantage
Yr 1 CHF 463’500.00 CHF 350’691.42 CHF 90’338.77 CHF 105’106.10 CHF -14’767.34
Yr 2 CHF 477’405.00 CHF 341’225.25 CHF 119’359.34 CHF 111’588.82 +CHF 7’770.53
Yr 3 CHF 491’727.15 CHF 331’598.83 CHF 150’170.76 CHF 118’471.37 +CHF 31’699.39
Yr 4 CHF 506’478.96 CHF 321’809.42 CHF 182’889.08 CHF 125’778.43 +CHF 57’110.65
Yr 5 CHF 521’673.33 CHF 311’854.27 CHF 217’637.70 CHF 133’536.17 +CHF 84’101.54
Yr 6 CHF 537’323.53 CHF 301’730.58 CHF 254’547.96 CHF 141’772.38 +CHF 112’775.58
Yr 7 CHF 553’443.24 CHF 291’435.51 CHF 293’759.54 CHF 150’516.59 +CHF 143’242.95
Yr 8 CHF 570’046.54 CHF 280’966.13 CHF 335’421.07 CHF 159’800.13 +CHF 175’620.95
Yr 9 CHF 587’147.93 CHF 270’319.51 CHF 379’690.61 CHF 169’656.25 +CHF 210’034.36
Yr 10 CHF 604’762.37 CHF 259’492.63 CHF 426’736.30 CHF 180’120.28 +CHF 246’616.02

How this rent-versus-buy calculator compares costs

The estimate compares home equity after projected appreciation, remaining mortgage balance and selling costs with the renter's invested upfront cash. Each month, the scenario with lower housing costs can invest the difference. Mortgage payments use a fixed-rate amortization formula; future home values, rent, costs and investment returns are assumptions you can change.

Country-specific costs and tax treatment

Local taxes, insurance, mortgage rules, and transaction costs vary. Enter the costs that apply to your home and verify current rules with a local authority or lender. Investment returns and home-price changes are not guaranteed.

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Calculation Methodology & Proof

Rent vs buy

Both paths start with the same cash. The buyer puts it into the house; the renter invests it. Each year we compare net worth.

Buyer NW = home value − mortgage balance − selling costs. Renter NW = invested upfront + reinvested (buyer housing cost − rent) at the investment return.
  1. Buyer cash outlay: down payment + buy closing, then PITI + maintenance each month.
  2. A simplified tax deduction reduces buyer cost by interest × marginal rate.
  3. Renter pays rent (growing) and renter insurance, and keeps the invested stake growing.
  4. Break-even is the first year buyer net worth exceeds renter net worth.

Important Caveats & Planning Assumptions

  • Appreciation, returns, and rent growth are assumptions, not forecasts.
  • Transaction costs and taxes on sale are stylized.
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Frequently Asked Questions

Expert answers to common questions

Why can renting win on paper?

If the down payment would earn a high return, if you move before break-even, or if buy costs (tax, maintenance, selling costs) are high relative to rent.

Do you include the mortgage interest deduction?

A simplified deduction using your marginal tax rate is applied to interest. Caps, standard-deduction effects, and local tax treatment are not fully modelled.

What is 'advantage'?

Buyer net worth (home equity after selling costs) minus renter net worth (invested cash). Positive means buying is ahead in that year.