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Rent vs Buy: 10-Year Comparison

Compare the total 10-year cost of renting vs buying a home, factoring in price growth, rent increases, mortgage interest and depreciation.

Free online · Instant results

Home Price

10k CNY

Down Payment %

Loan Rate

Loan term (years)

yrs

Monthly rent

CNY

Annual rent increase

Investment return

Comparison horizon

yrs

After 10 years

Renting wins

Buy net asset 138.6×10k vs Rent net asset 173.3×10k CNY (price appreciation NOT assumed)

Down payment90.0 ×10k

Monthly payment9197 CNY

Break-even yearNot in range

Gross rent yield2.00%

Gross rent yield 2.00%: international healthy range is 4-6% (price/rent ratio 200-300 months). Most Chinese tier-1 cities run 1.5-2% (600+ months) — buying only makes financial sense there if prices appreciate, which this model deliberately does NOT assume.

Model assumptions

1Loan 210.0×10k at 3.3% for 30 yrs → monthly payment 9197 (equal installment)
2Buy net asset = home value (held constant) − remaining loan balance
3Rent net asset = down payment invested + monthly (payment − rent) difference invested, compounded at your return rate
4Both sides start with identical cash flows; whichever ends with higher net asset "wins"

Year-by-year comparison

Year	Buy net asset	Rent net asset	Leader
Y1	94.2 ×10k	97.8 ×10k	Rent
Y2	98.5 ×10k	105.7 ×10k	Rent
Y3	102.9 ×10k	113.8 ×10k	Rent
Y4	107.5 ×10k	121.9 ×10k	Rent
Y5	112.3 ×10k	130.2 ×10k	Rent
Y6	117.2 ×10k	138.6 ×10k	Rent
Y7	122.3 ×10k	147.1 ×10k	Rent
Y8	127.5 ×10k	155.7 ×10k	Rent
Y9	133.0 ×10k	164.4 ×10k	Rent
Y10	138.6 ×10k	173.3 ×10k	Rent

Model limits: ignores transaction taxes (~1-3% deed tax + agent fees), maintenance costs, property tax, and the option value of flexibility. The decision is never purely financial — school districts, stability, and family plans matter. Use this as the quantitative baseline, then weigh qualitative factors.

Frequently Asked Questions

Is it better to rent or buy?▼

Short term (under 5 years) renting is usually cheaper and more flexible; long term (10+ years) buying wins in cities with rising prices. The key factors are the price-to-rent ratio and expected appreciation.

How do I use the Rent vs Buy Calculator?▼

Open the page and fill in the input fields — results update automatically. Long-term cost comparison for housing decisions.

Are the results accurate?▼

Yes. Standard formulas and conversion factors are used and verified.

Is it free? Do I need to sign up?▼

Completely free. No registration, login or download required.

Does it work on mobile?▼

Yes. The responsive design works on phones, tablets and desktops.

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This is a dedicated variant of the Rent vs Buy Calculator, pre-configured for this scenario with tailored FAQs.