Independent consumer guide. Not a real estate agent, mortgage broker, or financial adviser. For general educational purposes only. Always confirm with a licensed professional before making a buying or renting decision.

Condo vs Apartment Cost Calculator: 10-Year Comparison

Updated 17 April 2026

No other condo comparison tool includes HOA fees, PMI on sub-20% down, and annual HOA growth in the same model. Enter your numbers and find the year buying starts to win.

Not financial advice. This calculator uses generalised assumptions. Your actual costs depend on your local market, specific building financials, personal tax situation, and mortgage terms. Always confirm numbers with a licensed lender and real estate professional.
Quick scenarios:
$300,000
10%
6.75%
$400
1.1%
$2,000
3.5%
3.5%

Net Cost Comparison (Total Paid Minus Equity Built)

5 Years

Condo (Buy)

$100,015

net cost

+$102,841 equity

Apartment (Rent)

$128,699

total spent

$0 equity

Buying saves $28,684 vs renting over 5 years

10 Years

Condo (Buy)

$173,945

net cost

+$192,867 equity

Apartment (Rent)

$281,553

total spent

$0 equity

Buying saves $107,608 vs renting over 10 years

30 Years

Condo (Buy)

$208,401

net cost

+$842,038 equity

Apartment (Rent)

$1,238,944

total spent

$0 equity

Buying saves $1,030,543 vs renting over 30 years

Break-even year: Year 2

After year 2, buying becomes the cheaper option on a net-cost basis.

Assumptions: 3% closing costs, HO-6 insurance at 0.4% of purchase price, PMI at 0.8% if down <20% (drops when equity reaches 20%), HOA grows 3% annually. Does not model special assessments, tax savings, or opportunity cost on down payment.


How to interpret your results

The calculator shows net cost, not gross spend. Net cost = total money paid minus equity you have built. This is the fairest comparison because buying ties up capital (down payment, mortgage payments) that generates an equity asset, while renting does not.

A negative net cost for buying means you have built more equity than you have paid out -- you are effectively being paid to live there once appreciation is counted. A positive net cost for both sides means you are out-of-pocket either way; the question is which side costs less.

The break-even year is when buying's net cost drops below renting's total spend. Before that year, renting is the financially cheaper option. After it, buying wins.

What this calculator does not model

  • Special assessments: unexpected one-time charges from the HOA for major building repairs. These can range from $5,000 to $150,000+. See our HOA fees deep-dive for examples.
  • Mortgage tax savings: the mortgage interest deduction (available to itemisers up to $750K loan) and property tax deduction (SALT capped at $10K) reduce the cost of ownership for higher earners who itemise. See /costs for the tax section.
  • Opportunity cost on the down payment: money tied up in a down payment could alternatively be invested. At a 7% historical stock market return, a $30K down payment becomes $59K after 10 years. Whether your condo appreciation beats this depends on leverage and local conditions.
  • Rate changes: if you refinance to a lower rate, monthly costs drop. If you are on an ARM and rates rise, costs increase.
  • Selling costs: resale typically costs 5 to 6% in agent commissions plus transfer taxes. A sale before the break-even year can mean realising a loss.

Default assumptions

InputDefaultSource / rationale
Condo price$300,000Approximate US median condo price 2025 (NAR)
Down payment10%Typical first-time buyer range 3-20%
Mortgage rate6.75%30-year fixed, approximate Freddie Mac PMMS Q1 2026
HOA fee$400/moNational median for mid-size buildings (NerdWallet 2024)
Property tax rate1.1%US average (Lincoln Institute of Land Policy)
Monthly rent$2,000/moApproximate US median rent for comparable unit
Rent growth3.5%/yrApartment List 2024 national average
Appreciation3.5%/yrLong-run FHFA condo price index average
HOA fee growth3%/yrIndustry norm; inflation-adjusted HOA budgets
Closing costs3%Mid-range estimate; varies 2-5% by state
PMI rate0.8%/yrStandard PMI on conventional loan, 10% down
HO-6 insurance0.4% of price/yrIndustry average for unit-owner policy
Cost breakdown by line itemHOA fees deep-diveRent vs buy decision frameworkMortgage qualification rules

Updated 2026-04-27