Buy or Rent in UK?
Compare buying a property versus renting and investing in stocks. See which option builds more wealth over time.
Quick start with regional average:
Adjust the numbers to match your situation:
Buy 💸
Enter purchase price, deposit, and mortgage details.
That's £29,800. Mortgage: £268,200 (90.0% LTV).
Rent 💸
Estimate your monthly rent if you don't buy.
Living 💸
Include food, transport, bills and everyday expenses.
Savings & income 💷✨
Add your current savings and annual income.
Your current savings at Year 1 start
Tip: Check a lender's affordability calculator to confirm how much you could actually borrow.
Investing 💷✨
Money left after all bills goes into savings and stocks.
Simulation ⏳
Choose how long to run the forecast.
Rent Scenario
Total wealth at end (2054)
Buy Scenario
Total wealth at end (2054)
Buying wins by £502,131
16.4% better
in 2054 wouldn't have the same purchasing power as today — it's roughly equivalent to about £1,493,072 in today's money
Wealth Over Time
Rent Scenario Breakdown
| Year | Net Income | Living | Rent | Savings | Stocks | Total Wealth |
|---|---|---|---|---|---|---|
| 2025 | — | — | — | £9,540 | £22,260 | £31,800 |
| 2026 | £55,645 | £15,000 | £14,400 | £17,855 | £42,879 | £60,733 |
| 2027 | £57,073 | £15,375 | £14,832 | £26,625 | £65,392 | £92,017 |
| 2028 | £58,544 | £15,759 | £15,277 | £35,871 | £89,947 | £125,819 |
| 2029 | £60,059 | £16,153 | £15,735 | £45,616 | £116,703 | £162,318 |
| 2030 | £61,619 | £16,557 | £16,207 | £55,881 | £145,828 | £201,709 |
| 2031 | £63,226 | £16,971 | £16,694 | £66,691 | £177,505 | £244,196 |
| 2032 | £64,882 | £17,395 | £17,194 | £78,069 | £211,931 | £290,000 |
| 2033 | £66,587 | £17,830 | £17,710 | £90,042 | £249,314 | £339,356 |
| 2034 | £68,343 | £18,276 | £18,241 | £102,636 | £289,880 | £392,516 |
| 2035 | £70,152 | £18,733 | £18,789 | £115,878 | £333,870 | £449,748 |
| 2036 | £72,015 | £19,201 | £19,352 | £129,798 | £381,543 | £511,340 |
| 2037 | £73,934 | £19,681 | £19,933 | £144,425 | £433,176 | £577,601 |
| 2038 | £75,911 | £20,173 | £20,531 | £159,791 | £489,068 | £648,859 |
| 2039 | £77,721 | £20,678 | £21,147 | £175,859 | £549,373 | £725,232 |
| 2040 | £79,510 | £21,195 | £21,781 | £192,636 | £614,363 | £806,998 |
| 2041 | £81,352 | £21,724 | £22,435 | £210,150 | £684,380 | £894,531 |
| 2042 | £83,250 | £22,268 | £23,108 | £228,434 | £759,794 | £988,228 |
| 2043 | £85,204 | £22,824 | £23,801 | £247,517 | £840,998 | £1,088,515 |
| 2044 | £87,218 | £23,395 | £24,515 | £267,433 | £928,416 | £1,195,849 |
| 2045 | £89,291 | £23,980 | £25,250 | £288,216 | £1,022,500 | £1,310,717 |
| 2046 | £91,427 | £24,579 | £26,008 | £309,903 | £1,123,736 | £1,433,638 |
| 2047 | £93,627 | £25,194 | £26,788 | £332,528 | £1,232,642 | £1,565,171 |
| 2048 | £95,893 | £25,824 | £27,592 | £356,132 | £1,349,777 | £1,705,910 |
| 2049 | £98,226 | £26,469 | £28,420 | £380,754 | £1,475,736 | £1,856,490 |
| 2050 | £100,630 | £27,131 | £29,272 | £406,435 | £1,611,159 | £2,017,594 |
| 2051 | £103,106 | £27,809 | £30,150 | £433,219 | £1,756,728 | £2,189,947 |
| 2052 | £105,656 | £28,504 | £31,055 | £461,150 | £1,913,178 | £2,374,327 |
| 2053 | £0 | £29,217 | £31,987 | £413,647 | £2,047,100 | £2,460,747 |
| 2054 | £0 | £29,947 | £32,946 | £362,905 | £2,190,397 | £2,553,303 |
Buy Scenario Breakdown
| Year | Net Income | Living | Mortgage Payment | Savings | Stocks | Property Equity | Total Wealth |
|---|---|---|---|---|---|---|---|
| 2025 | — | — | — | £0 | £0 | £29,800 | £29,800 |
| 2026 | £55,645 | £17,980 | £17,889 | £6,035 | £14,363 | £44,383 | £64,781 |
| 2027 | £57,073 | £18,355 | £17,889 | £12,585 | £30,495 | £59,490 | £102,570 |
| 2028 | £58,544 | £18,739 | £17,889 | £19,675 | £48,546 | £75,141 | £143,363 |
| 2029 | £60,059 | £19,133 | £17,889 | £27,335 | £68,675 | £91,355 | £187,366 |
| 2030 | £61,619 | £19,537 | £17,889 | £35,593 | £91,053 | £108,155 | £234,801 |
| 2031 | £63,226 | £19,951 | £17,889 | £44,479 | £115,864 | £125,562 | £285,905 |
| 2032 | £64,882 | £20,375 | £17,889 | £54,025 | £143,306 | £143,601 | £340,932 |
| 2033 | £66,587 | £20,810 | £17,889 | £64,265 | £173,591 | £162,294 | £400,149 |
| 2034 | £68,343 | £21,256 | £17,889 | £75,232 | £206,948 | £181,667 | £463,846 |
| 2035 | £70,152 | £21,713 | £17,889 | £86,962 | £243,622 | £201,746 | £532,330 |
| 2036 | £72,015 | £22,181 | £17,889 | £99,494 | £283,876 | £222,558 | £605,928 |
| 2037 | £73,934 | £22,661 | £17,889 | £112,866 | £327,993 | £244,131 | £684,990 |
| 2038 | £75,911 | £23,153 | £17,889 | £127,119 | £376,277 | £266,495 | £769,890 |
| 2039 | £77,721 | £23,658 | £17,889 | £142,226 | £428,888 | £289,680 | £860,795 |
| 2040 | £79,510 | £24,175 | £17,889 | £158,205 | £486,107 | £313,718 | £958,030 |
| 2041 | £81,352 | £24,704 | £17,889 | £175,096 | £548,284 | £338,642 | £1,062,021 |
| 2042 | £83,250 | £25,248 | £17,889 | £192,940 | £615,796 | £364,486 | £1,173,223 |
| 2043 | £85,204 | £25,804 | £17,889 | £211,783 | £689,050 | £391,286 | £1,292,119 |
| 2044 | £87,218 | £26,375 | £17,889 | £231,668 | £768,480 | £419,079 | £1,419,227 |
| 2045 | £89,291 | £26,960 | £17,889 | £252,644 | £854,551 | £447,904 | £1,555,099 |
| 2046 | £91,427 | £27,559 | £17,889 | £274,760 | £947,762 | £477,801 | £1,700,323 |
| 2047 | £93,627 | £28,174 | £17,889 | £298,068 | £1,048,650 | £508,812 | £1,855,530 |
| 2048 | £95,893 | £28,804 | £17,889 | £322,621 | £1,157,788 | £540,981 | £2,021,390 |
| 2049 | £98,226 | £29,449 | £17,889 | £348,475 | £1,275,791 | £574,354 | £2,198,620 |
| 2050 | £100,630 | £30,111 | £17,889 | £375,687 | £1,403,320 | £608,977 | £2,387,985 |
| 2051 | £103,106 | £30,789 | £0 | £409,779 | £1,554,074 | £626,637 | £2,590,490 |
| 2052 | £105,656 | £31,484 | £0 | £445,527 | £1,716,728 | £644,809 | £2,807,065 |
| 2053 | £0 | £32,197 | £0 | £427,032 | £1,836,899 | £663,509 | £2,927,440 |
| 2054 | £0 | £32,927 | £0 | £407,201 | £1,965,482 | £682,751 | £3,055,434 |
Assumptions & Sources
Default Values & Sources:
• Property prices: HM Land Registry UK House Price Index (Jan 2008 - Jul 2025, 17 years)
• Individual income: ONS Annual Survey of Hours and Earnings (ASHE) (2023-2024)
• Rent prices: ONS Private Rental Prices (Q3 2024)
• Rent growth: ONS Private Rental Prices (2019-2024, 5-year avg)
• Mortgage rates: Bank of England (Oct 2024-2025, last 12 months)
• Savings rates: MoneySavingExpert (Oct 2024-2025, last 12 months)
• Investment returns (stocks/equities): NYU Stern historical returns, Morningstar Mind the Gap (S&P 500, 1926-2024, 98 years)
• Inflation/living costs: ONS Consumer Price Index (2010-2024, 15-year avg)
• Wage growth: ONS Earnings and Working Hours (2010-2024, 15-year avg)
• Stamp duty: HMRC rates effective April 2025
Tax Treatment:
• Employment income: fully taxed with income tax and National Insurance (12%/2%). England/Wales/N.Ireland use 20%/40%/45% tax bands; Scotland uses 19%/20%/21%/42%/45% bands. Includes personal allowance taper for earnings over £100k
• Savings and stock returns: shown before tax (gross returns)
• Property gains: no Capital Gains Tax (primary residence relief applies)
Calculation Methods:
• Investment returns (savings & stocks) and property prices compound monthly (annual rates converted to equivalent monthly rates for accuracy)
• Income, rent, and living costs increases applied annually (more realistic)
• Surplus allocation: 30% cash savings, 70% stocks/equities
• Deficit funding: withdrawn first from savings, then from stocks if needed
• Mortgage: standard repayment mortgage, assumes remortgaging at the same 4.5% rate throughout the 25-year term