Rent vs Sell Calculator
Trying to decide whether to rent or sell your home? Use our free Rent vs Sell Calculator to compare potential profit, long-term ROI, costs, and more. Whether you’re a homeowner or investor, this tool helps you make smart, data-driven decisions.
Advanced Rent vs Sell Calculator
Comprehensive financial analysis comparing renting your property versus selling it
Property Details
Rental Projections
Financial Parameters
Note: This calculator accounts for mortgage amortization, tax implications, opportunity costs, and inflation. The vacancy rate adjusts rental income to account for unoccupied periods. Capital gains tax is calculated on profit from sale.
Financial Analysis
| Year | Rent Income | Expenses | Net Income | Home Value | Mortgage Bal |
|---|---|---|---|---|---|
| 1 | $24,552 | $6,000 | $18,552 | $362,250 | $192,400 |
| 2 | $50,326 | $12,000 | $38,326 | $374,929 | $184,650 |
| 3 | $77,314 | $18,000 | $59,314 | $388,051 | $176,700 |
| 4 | $105,536 | $24,000 | $81,536 | $401,633 | $168,550 |
| 5 | $135,119 | $30,000 | $105,119 | $415,422 | $160,200 |
Renting Outcome
Selling Outcome
How Our Rent vs Sell Calculator Works?
Our calculator analyzes essential financial factors such as monthly rental income, expected sale price, taxes, repair costs, and appreciation rate. It provides a straightforward side-by-side comparison, enabling you to understand which option yields the highest return over time.
Is It Better to Sell Your Home or Rent It?
Here are several questions to consider:
- If your goal is to achieve sustained passive income and property growth, renting is a viable option.
- Selling is ideal when you seek immediate cash or when the market is favorable.
- Take into account taxes, upkeep, mortgage repayment, and your long-term goals.
Frequently Asked Questions
Q1. How does the Rent vs Sell Calculator function exactly?
Our calculator produces reliable estimates based on the information you provide. It takes into account factors such as ROI, property appreciation, taxes, rental income, selling costs, and various other elements. While it establishes a solid foundation, intricate decisions necessitate insights from a financial advisor.
Q2. What aspects should I consider when choosing between renting and selling?
Important factors encompass your current mortgage obligations, market conditions, selling costs, property taxes, long-term financial goals, and potential rental income.
Q3. Is this relevant for investment properties?
Absolutely. This tool is intended for homeowners and real estate investors looking to compare rental income against sale proceeds for various types of residential properties.
Q4. Does the calculator take appreciation or tax benefits into account?
Indeed, it does. You can input estimated rental growth, anticipated appreciation rates, as well as tax benefits such as depreciation or capital gains taxes to obtain more accurate results.