Avg UK house: £285,000Avg mortgage rate: 4.5%
BUY VS RENT CALCULATOR  ·  SHOULD I BUY A HOUSE?  ·  UK 2026  ·  STAMP DUTY · MORTGAGE · INVESTMENT RETURNS  · 
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Buy vs Rent

Find out whether buying or renting makes more financial sense for you.

£
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£30,000 deposit on a £300,000 property

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yrs
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yrs
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If renting, your deposit is assumed to be invested in index funds at this rate.

⚡ DID YOU KNOW?

Buying beats renting in the long run for most UK buyers — but it takes an average of 7-10 years for buying to break even with renting and investing the deposit.

Enter your details to find your break-even point →

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10%
4.5%
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10 yrs
Calculate first to see results

Buy vs Rent FAQs

Is it better to buy or rent in the UK in 2026?

It depends on your situation. Buying typically wins over a long time horizon (10+ years) but requires a large upfront deposit and stamp duty. Renting gives flexibility and allows you to invest your deposit. Use this calculator to compare your specific numbers.

How is stamp duty calculated?

We use the 2025/26 UK stamp duty rates: 0% up to £250,000, 5% on £250,001-£925,000, 10% on £925,001-£1.5m, 12% above. First-time buyers have different thresholds — check HMRC for your exact situation.

What happens to my deposit if I rent?

This calculator assumes you invest your deposit in a diversified index fund. The default 7% annual return is a common long-term estimate for global equity funds, though actual returns vary. Change this in the advanced options.