NYC Rent vs Buy Calculator

Compare total costs of renting vs buying in New York City over 10 years

Your Situation

Renting Scenario

NYC average: 3-4% (stabilized), 4-6% (free market)

Buying Scenario

NYC typical: 20-25% (co-op/condo requirement)

2025 average: 6.5-7.0%

NYC effective rate: 1.925% (varies by borough)

NYC typical: $500-1,500/mo (higher for doorman buildings)

NYC historical: 3-5% annually

Analysis Parameters

NYC typical: 32-37% (federal + state + city)

10-Year Comparison

🏠 Buying is Better

$268,680.991

You save by buying over 10 years

Break-even point: 5.5 years

Total Costs (10 years)

Renting$531,354.794
Buying$262,673.802

Renting Breakdown

Upfront Costs (NYC)$15,750
• 15% broker fee$5,250
• First/last/security$10,500
Total Rent Paid$516,104.794
Renters Insurance$3,000
Security Deposit Return-$3,500

Buying Breakdown

Upfront Costs (NYC)$163,100
• Down payment (20%)$140,000
• Mansion tax$0
• Mortgage recording tax$9,800
• Other closing costs$13,300
Mortgage Payments$435,857.921
Property Taxes$134,750
Condo/Co-op Fees$110,053.241
Insurance + Maintenance$50,000
Tax Savings-$145,133.925
Net Proceeds (after sale)-$485,953.435

Equity Buildup (Buying)

Down Payment$140,000
Principal Paid$82,314.405
Appreciation (4% annual)$336,170.999
Total Equity$558,485.405
Home value after 10 years$1,036,170.999
Selling costs (7%)-$72,531.97

💡 NYC-Specific Insights

  • NYC mansion tax adds $0 to upfront costs (applies to $1M+ purchases)
  • Renting upfront: $15,750 vs Buying upfront: $163,100(9.4x more capital needed)
  • Monthly: Rent $3,500 vs Buy $5555(but $686/mo builds equity)
  • You reach break-even in 5.5 years, making buying advantageous for 10-year timeframe
  • Tax savings: $145,133.925 (32% rate × deductions, capped by SALT limit)