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The buy vs rent calculator for Canada
Compare buying a home with renting and investing the difference, year by year. Mortgage the Canadian way, closing costs by province, rent growth, home price growth, inflation, taxes on your savings and the cost of selling, all in one place.
BuyRentHow the buy vs rent comparison works
Same budget, fair fight
Both households spend the same total on housing each month. Whoever spends less invests the difference.
Real Canadian costs
Semi-annual mortgage compounding, default-insurance premiums, land transfer tax by province, property tax, maintenance, condo fees and selling costs.
Stress-test the future
Change home price growth, rent growth, inflation, renewal rates and investment returns, then see the range of outcomes and the break-even point.
A worked buy vs rent example
Here is the result for the default inputs: a $600,000 Alberta home with 20% down at 4.5%, against $2,300 rent, over ten years. Change the inputs above to see your own numbers.
After 10 years, buying finishes ahead of renting by about $41,686. On these assumptions buying overtakes renting after about 5.7 years, once selling costs are counted. The owner's first-month cash cost is $3,757, compared with $2,325 for the renter.
| Year | Home value | Mortgage balance | Buyer net worth | Renter net worth | Buying minus renting |
|---|---|---|---|---|---|
| 1 | $621,000 | $469,303 | $117,835 | $150,940 | −$33,105 |
| 2 | $642,735 | $458,120 | $149,966 | $176,418 | −$26,452 |
| 3 | $665,231 | $446,428 | $183,341 | $202,855 | −$19,514 |
| 4 | $688,514 | $434,203 | $218,008 | $230,289 | −$12,281 |
| 5 | $712,612 | $421,423 | $258,759 | $258,763 | −$4 |
| 10 | $846,359 | $348,248 | $460,065 | $418,379 | $41,686 |
Specialist buy vs rent tools
One decision, many angles. Each tool answers a specific question and links back to the full comparison.
Break-even calculator
Find the year buying overtakes renting, and the home-price growth, rent and rate that make buy vs rent a tie.
Equivalent-rent calculator
Solve for the monthly rent at which renting and owning finish equal.
Price-to-rent ratio
Calculate the price-to-rent ratio and the 5% rule for any home.
True cost of owning
See every cost of owning a home against rent: interest, property tax, maintenance, insurance, fees and the opportunity cost of your down payment.
Rent and invest the difference
See how much a renter’s portfolio could grow by investing the down payment and the monthly savings.
Down payment vs invest
Compare buying with different down payments against renting.
Closing costs
Estimate land transfer tax, legal fees and other closing costs by province, plus selling costs.
Mortgage payment
Calculate Canadian mortgage payments with semi-annual compounding, payment frequency and the effect of a higher rate at renewal.
Buy vs rent in your city
City pages start the calculator with local rules, such as Alberta’s lack of land transfer tax or Toronto’s extra municipal tax, and rounded planning inputs you can replace.
Start with these buy vs rent guides
What is buy vs rent?
Buy vs rent compares owning a Canadian home with renting a similar one and investing the difference. Learn what is counted, what is not, and how to read it.
Read the guide →foundationsHow to decide between buying and renting
A practical buy vs rent framework for Canadians
Read the guide →foundationsThe 5% rule for buy vs rent
The 5% rule is a quick buy vs rent screen that compares annual rent with 5% of a home's price. See how it works, where it breaks, and how to test it.
Read the guide →foundationsBuy vs rent break-even, explained
The buy vs rent break-even is the point where owning's net worth overtakes renting's. See a worked example year by year and what moves it earlier or later.
Read the guide →costsThe hidden costs of owning a home in a buy vs rent decision
Mortgage payments are only part of owning. See property tax, insurance, repairs, utilities, closing and selling costs and how each shifts a buy vs rent result.
Read the guide →lifeBuy vs rent for first-time buyers
A buy vs rent walk-through for first-time buyers
Read the guide →The numbers side
MITEY builds clear financial calculators and guides, from mortgages to savings. This site is its buy vs rent engine.
Meet MITEYThe property side
PRPTY is a Calgary-based property network. When you are ready to talk neighbourhoods, buying or selling, PRPTY agents can help.
Explore PRPTYBuy vs rent: common questions
Is it better to buy or rent in Canada?
Neither is better for everyone. It depends on how long you will stay, the price, your mortgage rate, rent, and what you would do with the money otherwise. Start with what buy vs rent means and test your own numbers.
What is a buy vs rent calculator?
It compares the long-run financial position of a household that buys a home with one that rents and invests the difference. This site's main calculator shows the result, the break-even point and how sensitive it is to your assumptions.
How long do I need to stay for buying to make sense?
Buying carries costs at both ends, so short stays usually favour renting. In the default illustrative example, buying overtakes renting after about 5.7 years, but your break-even depends on your inputs; see time horizon.
What does break-even mean?
It is the first month from which buying stays ahead of renting after selling costs are counted. A crossing that later reverses does not count. The break-even guide explains it in detail.
Is rent money wasted?
Not necessarily. Rent pays for housing and flexibility, just as ownership costs such as interest, property tax and maintenance also pay for housing without building equity. See buy vs rent myths.
What is the 5% rule?
It is a quick screen that compares a home's unrecoverable ownership costs with rent. It is a rough test and not a decision; read the 5% rule for how to use it.
What are the unrecoverable costs of owning?
They are costs you do not get back, such as mortgage interest, property tax, insurance, maintenance and selling costs. Principal repayments, by contrast, build equity. See hidden costs of owning.
What closing costs should I expect?
They usually include legal fees, title insurance, an inspection, any transfer taxes or registration fees and other adjustments. Amounts vary, and the closing costs tool estimates them by province.