Property Decision
Rent vs Buy Calculator
Compare the long-term financial impact of renting versus buying property in Australia across 5, 10, and 20-year time horizons.
Your Scenario
Renting
Buying
Buying costs include loan repayments. Net buy cost subtracts capital appreciation. Opportunity cost of deposit not included.
Total Rent Cost
$343,916
over 10 years
Net Buy Cost
$142,313
after property appreciation
Buying is ahead by
$201,603
after 10 years (net of appreciation)
Monthly Mortgage
$4,045
vs current rent of $2,500/mo
Year-by-Year Comparison
| Year | Rent Spent | Property Value | Equity |
|---|---|---|---|
| Yr 1 | $30,000 | $840,000 | $207,153 |
| Yr 3 | $92,727 | $926,100 | $309,030 |
| Yr 5 | $159,274 | $1,021,025 | $421,915 |
| Yr 7 | $229,874 | $1,125,680 | $547,016 |
| Yr 9 | $304,773 | $1,241,063 | $685,675 |
| Yr 10 | $343,916 | $1,303,116 | $760,548 |
Rent or Buy in Australia?
The rent vs buy decision is one of the most significant financial choices Australians face. Both options have financial merits — it depends on your timeline, market, deposit size, and personal circumstances.
Key Factors
Property appreciation, rental growth, interest rates, and your investment horizon all affect the outcome. In fast-growing markets, buying tends to outperform renting over longer periods. In stagnant markets or short timeframes, renting may be more cost-effective.
Beyond the Numbers
Financial metrics are only part of the picture. Stability, freedom to renovate, and lifestyle preferences also matter. Speak with a ProPartners adviser to weigh up your specific situation.