Buy vs Rent Calculator
The most comprehensive rent vs buy analysis in India. See exactly how much wealth you'll have after 20 years with both scenarios—including every hidden cost, opportunity cost, and assumption.
Myth Buster
"Rent is wasted money. Buying is always better because you're building equity."
The Truth: EMI interest is also "wasted money"—it goes to the bank. In the first 10 years of a home loan, 70%+ of your EMI is interest. That's not equity. This calculator shows you the real math.
Your Complete Financial Scenario
FINANCIAL WINNER
Renting Wins
By ₹0
Renting + Investing
The Renter's Wealth
| Initial Investment (Down Payment) | ₹0 |
| Monthly Investment Surplus | ₹0 |
| Total Rent Paid (20y) | -₹0 |
| Investment Growth | +₹0 |
| Total Invested | ₹0 |
| Portfolio Value | ₹0 |
Net Worth After 20 Years
₹0
What This Means
The Complete Cost Breakdown
Interest Paid to Bank
₹0
Stamp Duty & Registration
₹0
Maintenance (20 years)
₹0
Property Tax (20 years)
₹0
Insurance (20 years)
₹0
Other Fees
₹0
Wealth Accumulation Over Time
Total Money Spent vs Asset Value
Assumptions Used in This Calculation
Property Appreciation
5% yearly
Investment Returns
12% yearly
Rent Increase
5% yearly
Loan Interest Rate
8.5%
Don't Ignore
- Property liquidity is LOW
- Selling costs 2-3% (brokerage + legal)
- Can't sell "half" a house if you need money
- Maintenance surprises are common
- Property disputes can be expensive
Consider This
- Emotional value of ownership
- No landlord hassles
- Freedom to renovate
- Forced savings discipline
- Social status (if that matters to you)
Renting Wins If
- You can actually invest the difference
- You might relocate in 5-7 years
- Property prices are inflated (bubble)
- You value flexibility over stability
- Better investment opportunities exist
Year-by-Year Wealth Comparison
| Year | Rent Paid | EMI Paid | Renter Wealth | Owner Wealth | Difference |
|---|---|---|---|---|---|
| Calculate to see year-by-year breakdown | |||||