Rent vs Buy Calculator

Australian Property Analysis

Financial Information

Total cash available for deposit and investments

$0 $5M

Annual expenses excluding housing costs (food, transport, etc.)

$0 $300k

Annual percentage increase in living expenses

0% 10%

Party 1

Gross annual income before tax

Tax Rate: 37%

Specify a future change in income

Include a second income earner in the calculation

Property Details

Total amount including property value, stamp duty, legal fees, and all other costs

$950k $2M

Percentage of total property outlay paid upfront

0% 100%

Annual interest rate on the mortgage

1% 10%

Duration of the mortgage in years

5 yrs 30 yrs

Annual percentage increase in property value

0% 10%

Ongoing Property Costs

Annual local government property taxes

Annual fees for apartment/unit owners

Annual water service and usage charges

Annual home and contents insurance

Annual budget for repairs and maintenance

Rental & Investment

Weekly rent for a comparable property

Annual percentage increase in rental prices

0% 10%

Annual return on investments (combined income and growth)

0% 15%

Percentage of investment returns as capital growth (remainder is income)

0% 100%

Analysis Period

Number of years to calculate future values

1 yr 30 yrs

Results

Buy Rent
Present Value of Net Cashflows $0 $0
Net Worth After 10 Years $0 $0

Net Worth Projection

Break-even Rate

Calculating...

Property appreciation rate at which both scenarios have equal terminal net worth.

Cashflow Breakdown

Detailed Analysis

Year Buy Net Worth Rent Net Worth Difference

Buy Breakdown

Actual Property Value: $0 (from Total Outlay of $0)

The actual property value is calculated by working backwards from the total outlay, accounting for stamp duty, legal fees, and other costs.

Year Property Debt Other Investments Net Worth

Rent Breakdown

Year Property Debt Other Investments Net Worth

Cashflow Breakdown

This selector changes the year shown in the table below. The chart above shows all years.

Category Buy Scenario Rent Scenario Difference
Income
Employment Income $0 $0 $0
Investment Income $0 $0 $0
Total Income $0 $0 $0
Expenses
Mortgage Payment $0 $0 $0
Property Expenses $0 $0 $0
Living Expenses $0 $0 $0
Income Tax $0 $0 $0
Total Expenses $0 $0 $0
Net Cashflow $0 $0 $0