Rent or buy: which pays off?
Enter the property, mortgage and rent data to see which option costs less over the period you choose.
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Difference over the period
R$34,599.94
- Net cost of buying
- R$183,362.59
- Net cost of renting
- R$217,962.53
- Mortgage installment
- R$3,789.65
Your result in words
Over 10 years, buying the R$500,000.00 property costs R$183,362.59 net and renting costs R$217,962.53: buying pays off, by R$34,599.94. The installment would be R$3,789.65.
Informational estimate, without fees or inflation. Check taxes and charges for your case; the real result may differ.
How it works
How the comparison works
Buying costs the down payment plus the installments paid in the period, minus what is left of the (appreciated) property after paying off the balance. Renting costs the adjusted rents, minus what the down payment would earn invested. The lower net cost wins.
What is left out
Deed fees, transfer tax, condo fees, property tax, insurance, renovations and capital gains tax are not included, and the difference between installment and rent is not invested. Use it as a first comparison, not a final decision.
Formula
How to calculate
C with subscript c is the cost of buying and with subscript a the cost of renting, E the down payment, PMT the installment, m the months in the period, V with subscript f the final property value, S with subscript m the balance at the end of the period, A with subscript k the rent of year k and r the yearly yield on the down payment.
Example
With round numbers, so you can check the math:
Over 10 years, buying the R$500,000.00 property costs R$183,362.59 net and renting costs R$217,962.53: buying pays off, by R$34,599.94. The installment would be R$3,789.65.
Frequently asked questions
Does buying always pay off more?
No. With high interest and little appreciation, renting and investing the down payment can cost less. The answer changes with the numbers, which is why they are editable.
What appreciation should I use?
A conservative estimate for your area, usually close to inflation. Test more than one scenario.
Why does the comparison period matter?
In the first years almost the whole installment is interest; the longer the period, the more the property and the lower balance favor buying.
Math checked by the JuntaTudo team · updated on Nov 12, 2026
