Is It Better to Rent or Buy in Australia?

The rent vs buy question is one of the most consequential financial decisions Australians face. Buying builds equity and provides stability, but involves significant upfront costs, ongoing maintenance, and opportunity cost on the deposit. Renting offers flexibility and lower commitment, but doesn’t build long-term wealth through the property itself.

This calculator models both scenarios over a chosen timeframe, accounting for property price growth, rent increases, investment returns on the deposit (if kept in shares or savings instead), loan repayments, and all associated costs. The result gives you a wealth comparison at the end of the period — helping you make a data-driven decision rather than following conventional wisdom that may not apply to your situation.

Note: Property markets vary dramatically across Australia — Sydney, Melbourne, Brisbane, Perth, Adelaide and regional areas all have different growth trajectories. The assumptions you use in this calculator are critical to the outcome.