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Rent or Buy Calculator

Capture the costs associated with buying and owning a home, then calculate the equivalent monthly rent to help you decide if renting or buying is best for you.

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Home ownership
   
$
 
   
 
%      / month
   
 
%     
   
 
years
Looking forward
   
 
years
   
 
%
   
 
%
   
 
%
   
 
%
Taxes
   
 
%      / year
   
$
 
Closing costs
   
 
%     
   
 
%     
Additional home ownership costs
   
 
%      / year
   
$
/ year
   
$
  / year
Mortgage insurance premium
(if applicable)
   
 
 
 
   
$
  / year
Additional renting costs
   
 
months     
   
$
 
   
$
  / year

Renting is better if...

you can rent a similar home for less than:

$0 / MONTH
 RentBuy
Initial costs  
Recurring costs  
Opportunity costs  
Net proceeds  
TOTAL  
Costs after   years

Assumptions
Mortgage rates are compounded semi-annually within this tool.

The calculations in this tool are based on a fixed-term interest rate.

This tool calculates the opportunity cost (the difference between buying and renting) at the expected investment rate over the long term.

This tool assumes that the home in question will be your principal residence, located in Canada, and as such it will qualify for the principal residence exemption, meaning that any increase in the Fair Market Value of this home will not be taxed when you resell in the future.

This tool also assumes that annual property taxes, insurance premiums, maintenance/repair/renovation/condominium fees, rental deposits and other costs associated with either renting or buying change with inflation. As such, the tool adjusts values annually following what is entered as the rate of inflation over the course of a 30-year period.

The average inflation rate is based on historical changes in the Consumer Price Index, Statistics Canada, CANSIM, table 326-0021 and Catalogue nos. 62-001-X, 62-010-X and 62-557-X.

This tool calculates mortgage insurance premiums (if applicable) as part of the mortgage, not as a one-time lump-sum payment.

CMHC mortgage insurance premiums listed within this tool are current as of June 1, 2015.

The average changes in home value and rent listed within this tool are based on CMHC’s Housing Market Outlook – Canada Edition and Rental Market reports, and are current as of fall 2015.

This tool rounds to the nearest dollar.