Investor Tools
Rent vs. Buy Calculator
Compare the true cost of renting against buying over any time horizon. Factors in mortgage principal and interest, property taxes, insurance, maintenance, home appreciation, rent increases, and the opportunity cost of your down payment.
Your Scenario
Net Cost — Buying
$207,880
over 10 years
Net Cost — Renting
$302,646
over 10 years
Breakeven Point
Year 5
buying becomes cheaper
Cumulative Net Cost Over Time
📈 Buying appears more cost-effective over your time horizon.
After 10 years, buying saves an estimated $94,766 net of equity and opportunity costs. Results depend heavily on your assumptions. Consult a financial advisor before making a decision.
Estimates only — for informational and educational use. Not financial, tax, legal, or investment advice. Consult a licensed financial advisor and lender before making housing decisions. See our Terms of Service.
How the Rent vs. Buy Calculation Works
The calculator models two scenarios over your chosen time horizon and shows the net cost of each path — accounting not just for out-of-pocket expenses, but also for the equity you build and the investment returns you give up by tying money into a down payment.
Buying costs include
- →Mortgage principal & interest (30-year fixed assumed)
- →Annual property taxes
- →Homeowner's insurance
- →Maintenance & repairs
- →Opportunity cost of the down payment
- →Minus equity built (appreciation + principal paydown)
Renting costs include
- →Monthly rent payments
- →Annual rent increases (inflation)
- →No equity accumulation
- →Full investment return on down payment equivalent
- →No maintenance or tax burden
- →Maximum flexibility
Florida-Specific Considerations
No state income tax
Florida has no state income tax — a major financial advantage that improves the effective cost of homeownership relative to high-tax states.
Homestead exemption
Florida homeowners who use the property as a primary residence can receive up to a $50,000 homestead exemption on assessed value, reducing property taxes significantly.
Save Our Homes cap
Once homesteaded, annual property tax assessment increases are capped at 3% or CPI (whichever is lower) — protecting buyers from runaway tax bills as values rise.
Insurance premiums
Florida homeowner insurance rates are among the highest in the nation due to hurricane risk. Budget $2,000–$5,000+ annually depending on location and structure age.
The Breakeven Point
The breakeven year is when cumulative buying costs (net of equity) drop below cumulative renting costs. Before that year, renting may be cheaper. After it, buying has typically paid off. In Florida's high-appreciation coastal markets, breakeven often arrives in years 4–8. In slower markets, it may be year 8–12.
Ready to Explore the Florida Market?
Use our Mortgage Calculator to model your monthly payment, or reach out to Ryan to discuss residential or commercial opportunities across Florida.