Estimated Home Value
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Tools
Rent or Own in Vancouver?
Most rent versus buy calculators compare monthly payments. That is the wrong question. The real question is which choice leaves you wealthier after five, ten, or twenty years.
This analysis answers that. It is built for BC, with Property Transfer Tax, CMHC premiums, strata fees and Canadian mortgage math included. Change any assumption and watch the answer change.
Step One
The Property
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What your down payment would earn if it stayed invested instead. A GIC investor might enter 4, an index investor 7, others higher.
Amortization is the full payoff schedule. Your mortgage term, typically five years, is only how long the rate is locked. Set your renewal-rate assumption under advanced assumptions.
Step Two
Ownership Costs
Optional. An average annual allowance for levies.
Net of suite expenses and income tax. Leave at zero if there is no suite. Grows at the same rate as rent.
How long do you expect to live here?
10years
151015202530
Or type a year
After 10 Years
Owning
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estimated net wealth
Renting
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estimated net wealth
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Owning
Renting
Year 10 Snapshot
Where The Money Stands
Mortgage Remaining
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Homeowner Equity
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Renter's Portfolio
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down payment + monthly savings, invested
Interest Paid To Date
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Principal Repaid
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Total Rent Paid
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Ownership Expenses
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taxes, fees, insurance, upkeep
Selling Costs If Sold
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Net Proceeds If Sold
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Advanced Assumptions+
Growth Rates
Enter your own view, or a long-run historical average for the area. The break-even readout above shows the minimum this home actually needs.
Set to 0 if the money sits in a TFSA or RRSP. Around 20 is typical for a taxable account. A principal residence is already tax-free, so this is what levels the comparison.
Applied to insurance, maintenance, repairs, landscaping.
Mortgage Renewal
Rate assumed at each five-year renewal after the first term.
Transaction Costs
Legal, inspection, appraisal, adjustments.
Commission plus GST and legal. Vancouver typically lands near 3 to 3.5%.
This tool is a planning model, not financial advice. Projections depend entirely on the assumptions entered and actual results will differ.
The most important assumption: the renting side assumes every dollar saved by not owning is invested, every month, without exception. Most renters do not do this. If the money is spent instead, the renting outcome shown here will not materialize.
Investment returns are modelled as a steady annual rate. Real markets do not behave this way, and the order in which good and bad years arrive materially changes the outcome. Mortgage payments use Canadian semi-annual compounding, monthly frequency only. CMHC premiums are estimated for down payments under 20% and added to the mortgage; insured mortgages are generally limited to a 25-year amortization apart from specific exemptions, which this model does not enforce. First-time buyer and newly-built-home Property Transfer Tax exemptions, the BC Home Owner Grant, and GST on new construction are not included. Suite income should be entered net of expenses and income tax. All figures are in future dollars and are not adjusted for inflation. Talk to your lender, accountant, and REALTOR® before making decisions.
The most important assumption: the renting side assumes every dollar saved by not owning is invested, every month, without exception. Most renters do not do this. If the money is spent instead, the renting outcome shown here will not materialize.
Investment returns are modelled as a steady annual rate. Real markets do not behave this way, and the order in which good and bad years arrive materially changes the outcome. Mortgage payments use Canadian semi-annual compounding, monthly frequency only. CMHC premiums are estimated for down payments under 20% and added to the mortgage; insured mortgages are generally limited to a 25-year amortization apart from specific exemptions, which this model does not enforce. First-time buyer and newly-built-home Property Transfer Tax exemptions, the BC Home Owner Grant, and GST on new construction are not included. Suite income should be entered net of expenses and income tax. All figures are in future dollars and are not adjusted for inflation. Talk to your lender, accountant, and REALTOR® before making decisions.
What this analysis actually does
It runs both paths month by month for thirty years. On the owning side, it tracks your mortgage with Canadian semi-annual compounding, five-year renewals, property taxes, strata or house upkeep, and the cost of eventually selling. On the renting side, it assumes your down payment and every dollar owning would have cost you stays invested.
Then it compares net wealth, not monthly cost. That is the honest comparison, and it is why the break-even year matters more than any single number on this page. Before that year, leaving is expensive. After it, owning is usually working in your favour.
What most calculators get wrong
Three things. They ignore what your down payment could earn if it stayed invested. They skip BC-specific costs like Property Transfer Tax and CMHC premiums. And they quietly assume American mortgage math, which overstates Canadian interest.
One caution in the other direction. The renting side here assumes a discipline most renters do not have: investing the difference every month, without exception. If that money would get spent instead, owning wins by more than this page shows.
Numbers are a starting point. Talk it through before you decide.
Tell me what you are considering. I will tell you what I see, what I would be cautious about, and where I think the opportunity is.
Common questions
Is it cheaper to rent or buy in Vancouver right now?
It depends on the property, your down payment, and how long you stay. In many Vancouver scenarios renting is cheaper month to month, but owning builds more wealth if you hold past the break-even year. Run your own numbers above. The answer changes with the assumptions, which is exactly the point.
What does the break-even year mean?
It is the year when the wealth of the owner catches up to the wealth of the renter who invested their savings. Sell before it and renting would have left you ahead. The biggest drivers are your buying and selling costs, which is why short holds rarely favour buying.
Does this include BC Property Transfer Tax and CMHC insurance?
Yes. PTT is calculated on the actual BC brackets and CMHC premiums are estimated and added to the mortgage when the down payment is under 20 percent. First-time buyer and new-build exemptions are not included, so if you qualify for those the buying case is slightly better than shown.
Is this financial advice?
No. It is a planning model, and it is only as good as the assumptions you enter. Talk to your lender and accountant before deciding anything. I am happy to pressure-test the real estate assumptions with you.
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