Rent vs Buy Calculator · Canada
Rent vs Buy Calculator
The answer depends on how long you stay, rent, and price growth. This calculator compares your net worth either way.
Buying comes out ahead
After 10 years
- Monthly mortgage payment
- $3,764
- Net worth if you buy
- $608,997
- Net worth if you rent and invest
- $524,164
- · Rent grows 3% a year. Savings are invested at 5%.
- · Owner costs: 0.3% property tax and 1% maintenance per year, plus PTT and $2,000 legal at purchase.
- · Selling costs of 3.5% are deducted from the home value at the end.
How it works
Buying builds equity but carries costs that renting does not: property transfer tax, property tax, maintenance and selling costs. Renting frees up the down payment to invest.
The calculator invests the down payment, closing costs and any monthly difference for the renter, then compares both net worths at the end.
Common questions
Is it better to rent or buy in Vancouver?
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Over short periods renting often wins. Over 7 to 10 years or more, buying usually catches up as equity grows.
What does the calculator assume?
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3% rent growth, 5% investment return, 0.3% property tax, 1% maintenance and 3.5% selling costs.
Sources: CMHC
Written and reviewed by Mani Garcha, REALTOR® with Royal LePage Wolstencroft Realty. Last reviewed November 2026. Guidance only, not legal or tax advice.