Thresholdthe honest rent-vs-buy math
Question 1 of 4 · Where

Where are you thinking of buying?

Pick the closest market and we'll pre-fill realistic prices, rents and property taxes. Everything stays editable — these are starting points, not answers.

Every market has starter condos and trophy homes. This scales the starting numbers; you'll set the exact price next.

Note: taxes are estimated using one standard set of rules with your state's rates plugged in — close for most states, not a CPA. Fine-tune every rate in the nerdy section later.

Question 2 of 4 · The home

Tell us about the place.

The price drives everything — the loan, the taxes, the gain at sale. And if you'd rent out any part of it, a tenant can pay a chunk of the mortgage.

What you'd realistically pay, not the listing price.

Check comparable listings.

$0 is fine for a move-in-ready home

Cash you'd spend up front on paint, floors, or repairs. To keep the math conservative, we don't count it toward the home's resale value — if your renovation would clearly add value, buying does a bit better than shown.

Question 3 of 4 · You

And about you.

The comparison is against your current life: the rent you pay now, and how long you'd realistically stay before selling.

Your real plan is a fair answer. For an apples-to-apples comparison, use what a similar home would rent for.

most buyers underestimate how long they'll stay
20% avoids mortgage insurance
Question 4 of 4 · The future

Now the honest part: nobody knows the future.

These guesses decide the answer, so we make them explicit instead of hiding them — every rate is nominal, with inflation baked in. Not sure? Pick an outlook — you can drag any dial later and watch the verdict move.

These are forward guesses, not predictions. For reference, US averages since 1990: homes ~4.5%/yr, stocks ~10%/yr, rents ~3.4%/yr — "Typical" deliberately haircuts stocks and homes below history, since most forward projections assume leaner decades ahead.

the single biggest driver

│ history: US homes averaged ~4.5%/yr, 1990–2024 (Case-Shiller national)

what your down payment earns if you don't buy

│ history: S&P 500 averaged ~10%/yr with dividends, 1990–2024

faster rent growth favors buying

│ history: US rents averaged ~3.4%/yr, 1990–2024 (CPI rent index)

what lenders quote you today
Ready

Here's your scenario.

We'll compare two identical twins for the years ahead: one keeps renting and invests every dollar saved; the other buys. At the end, both cash out — after taxes — and we see who's richer.

The nerdy numbers

Every dollar above, auditable. Click any number for its full derivation. Drag any slider — the story updates too.

Wealth over time (paper, buy vs rent)

Buy (equity + side fund)Rent (invested)

Amortization (interest vs principal / yr)

InterestPrincipal (your equity)

Verdict map — the future: home growth × stock return

Buying winsRenting winsyour current spot

Verdict map — the deal: home price × your rent

Buying winsRenting winsyour current spot

Amortization & carrying costs — exact, per year (annual $)

Wealth race — exact, per year (paper, pre-final-tax)

The costs, taxes & fine print — in plain English