📘 How to Use the Rent vs Buy Calculator

This calculator helps you compare whether buying a property or renting is financially better over a chosen time period. It considers loan EMIs, rent increases, property appreciation, and potential investment returns.

🔹 Step 1: Enter Your Details

• Monthly Rent: How much rent you currently pay.
• Annual Rent Increase: Expected yearly rise in rent (e.g., 5–10%).
• Home Price: Current market value of the property you are considering.
• Down Payment: % of home price you’ll pay upfront.
• Mortgage Rate: Interest rate on the home loan.
• Home Appreciation: Expected yearly increase in property value.
• Investment Return: If renting, expected return on money invested instead of buying.
• Time Horizon: How many years you want to compare.
• Annual Maintenance Costs: Yearly property taxes, insurance, upkeep (% of home price).

🔹 Step 2: Click “Calculate”

The tool will instantly show:

• Wealth from Buying: Future value of your home minus costs.
• Wealth from Renting: Value of invested savings minus rent paid.
• Net Difference: Which option builds more wealth over time.
• Break-even Point: When buying overtakes renting (if it does).
• A chart showing wealth growth year-by-year.

💡 Example

Suppose you:

• Pay ₹40,000 rent/month, rising 8% yearly
• Buy a home worth ₹90,00,000 with 20% down payment
• Mortgage rate: 8.5%, Home appreciation: 6% yearly
• If renting, you invest the down payment at 8% yearly return
• Time horizon: 20 years

The calculator might show that Buying builds ₹X more wealth over 20 years, with a break-even point after ~Y years.

⚠️ Disclaimer: This is an estimation tool for personal planning and should not be taken as financial advice. Actual results will vary depending on market conditions, tax laws, and your personal situation.