Rent vs Buy Calculator Canada
Renting or buying? Compare total costs over the years you plan to stay — monthly payments, equity built, rent outlay and home price growth.
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Formula
Mmonthly mortgageDdown paymentMaintmaintenance costsFVhome future valueL_remremaining loanBuy-side cost = mortgage payments + down payment + ~1.5%/year upkeep − equity gained (appreciation minus remaining balance), on a 25-year amortization. Rent-side cost = rent × months. Estimates only — not financial advice.
Estimates only — not financial advice.
Frequently Asked Questions
How long do I need to stay for buying to beat renting?
Usually around 5–7 years in Canada. Shorter stays let transaction costs — roughly 6–8% to sell, plus land transfer tax when buying — eat the gains. Try your own numbers above.
Does this include land transfer tax?
Buying in Canada adds land transfer tax, which varies by province — and by city in some places. This calculator does not add it automatically, so add your local amount to the buying side when judging the result.
What about maintenance and property tax?
Factor them into the buying side. This calculator focuses on the mortgage-versus-rent comparison, so add your expected annual costs on top when making the call.
Does it account for investing the down payment instead?
Not directly. If you would invest the down payment while renting, the opportunity cost can make renting look better — especially over short horizons.