Australia Rent vs Buy Calculator
Compare the financial outcome of buying a home versus renting and investing in Australia.
Recommendation
Calculating...
Review the comparison below to see whether renting or buying builds more wealth over time.
Renting & Investing
Renting and investing the surplus cash flow.
- Net Wealth (Year 10)
- $0
- Monthly Cost (Year 1)
- $0
- Total Spent (Rent)
- $0
Buying Home
Purchasing a home and building equity.
- Net Wealth (Year 10)
- $0
- Monthly Cost (Year 1)
- $0
- Total Spent (Interest+Fees)
- $0
Comparison
- Wealth Difference $0
- Break-even Year –
- Upfront Cash Required (Buy) $0
Analysis
Update the inputs to generate an analysis.
Is it better to buy a home or rent and invest? This "Rentvesting" style comparison (investing in shares instead of property) helps you decide.
Buying (Owner Occupier)
You buy a Principal Place of Residence (PPOR).
- Pros: Capital Gains Tax exemption on sale. Stability.
- Cons: Stamp Duty (large upfront cost), Council Rates, Maintenance.
Renting & Investing
You rent where you want to live and invest your deposit/savings in the share market (ETFs, Managed Funds).
- Pros: Flexibility, liquidity, diversification.
- Cons: No leverage (usually), Capital Gains Tax applies to investment profits.
Use this calculator to compare the 10-year wealth outcome.