Spain Tool

Rent vs Buy Calculator

Compare the full long-term cost of renting vs buying in Spain. Accounts for ITP, mortgage interest, maintenance, rent growth, house price growth and the opportunity cost of your deposit.

Spain historical: 3-4%

Spain historical: 4-5%

If you kept the deposit invested

Verdict

Buy

Over 10 years

Breakeven Year

Year 2

Buying becomes cheaper

Rent Total (10yr)

€228.883

Rent + opportunity cost

Buy Net (10yr)

€17.716

Costs minus equity built

Savings (if correct)

€211.167

Saved by buying

Upfront Cost to Buy

€75.565

Incl. €21.000 ITP

Monthly Mortgage

€1628

Home Value at Year 10

€518.085

Equity: €303.076

10-Year Total Cost Comparison

Rent: cumulative rent + opportunity cost of the deposit if invested. Buy: upfront + ongoing costs minus equity built.

Year-by-Year Breakdown

Green rows = buying ahead cumulatively.

YearRent (cumu)+ Opp CostBuy (cumu)Home EquityBuy Net
Year 1€16.800€3023€99.656€73.232€26.424
Year 2€34.104€6166€123.837€94.824€29.014
Year 3€51.927€9435€148.112€117.309€30.803
Year 4€70.285€12.835€172.481€140.726€31.754
Year 5€89.193€16.371€196.946€165.114€31.832
Year 6€108.669€20.049€221.510€190.512€30.998
Year 7€128.729€23.874€246.175€216.962€29.212
Year 8€149.391€27.851€270.942€244.509€26.433
Year 9€170.673€31.988€295.813€273.198€22.616
Year 10€192.593€36.290€320.792€303.076€17.716

Upfront Costs to Buy

Deposit€52.500
Stamp Duty (ITP)€21.000
Legal / conveyancing fees€1500
Survey€800
Mortgage arrangement fee€1000
Total upfront€75.565

How this works

  • • Opportunity cost assumes your deposit + fees could otherwise earn 4% / year.
  • • Buying includes mortgage, ~1% maintenance, 0.3% buildings insurance — each inflating 2% / year.
  • • Home equity = property value (grown at 4% / year) minus outstanding mortgage.
  • • Buy Net = total paid to own the home minus the equity you've built. Lower is better.
  • • Breakeven = the year Buy Net first drops below Rent + Opportunity Cost.