Considering a Home Purchase

Are you better off renting or buying a home?

Renting and buying are different ways to pay for a place to live and its amenities. Both come with costs and benefits. How long you plan to live in your home, whether you expect home prices to rise or fall, and your mortgage terms and maintenance costs are just some of the factors that can affect whether renting or buying is right for you.

Consider using the following calculators to help you make this decision.

  1. Review your checklist.

    Gather the information you’ll need to effectively use the calculators.

  2. Figure out the better deal.

    Try the “Is It Better to Rent or Buy?” calculator from the New York Times. It takes into account the costs of buying a house in order to calculate an equivalent rent amount for comparison.

  3. Consider different scenarios.

    Check out the “Rent or Buy Calculator” from the Federal Reserve Bank of Cleveland. It takes uncertainty into account to estimate what the best and worst cast scenarios may be.