Real estate
Is it better to rent, buy or list on Airbnb?
Compare renting, buying to live and buying for short-term rental over your chosen horizon — net cost and break-even.
Quick answer
Net cost over N years: renting = monthly rent × 12 × N (zero equity). Buying to live = down payment + purchase costs + mortgage payments + taxes/condo/maintenance − equity at the end (property value minus remaining loan). Worked example — €200,000 home, €700/month rent, 20% down, 3% mortgage over 25 years, 2% annual appreciation, €80/night Airbnb at 60% occupancy: at 10 years rent totals ~€84,000; buy-to-live net cost is often lower once equity is counted; Airbnb can beat both if nightly revenue covers the mortgage and management. Run your numbers above — the break-even line shows after how many years buying overtakes renting.
Monthly rent
Buy
Advanced costs (optional)
Airbnb
Best option at horizon
Buying for Airbnb
- Buy beats rent after
- 5 years
- Rent — total cost
- $84,000.00
- Equity built
- €0
- Buy to live — net cost
- $61,018.56
- Equity at horizon
- 33,929.46
- Mortgage payment
- $758.74
- Buy for Airbnb — net cost
- -$70,381.44
- Gross Airbnb revenue
- 75,200.00
- Management & platform
- $43,800.00
Related calculators: Mortgage payment · Rental yield · Cap rate · Price per m²
⚠️ Indicative estimate only — not financial or tax advice. Consult a qualified advisor or accountant before deciding.
Net cost = cash out (down, fees, mortgage, taxes, maintenance) minus equity at the end. Airbnb subtracts gross revenue minus management. Ignores rent inflation, tax deductions and selling costs — use as a directional comparison.
How it works
This is a numeric comparison only: no short-term rental rules (they change by city and country). For the monthly payment use the mortgage calculator; for long-term rental yield and cap rate on a buy-to-let, use the dedicated tools in the cluster. Compare listing prices with price per m² before you anchor on a single asking price.
Frequently asked questions
After how many years does buying beat renting?+
When the buyer’s net cost (all cash out minus equity at sale) drops below cumulative rent for the same horizon. That depends on rent level, mortgage rate, down payment, appreciation and maintenance — there is no universal answer. The calculator scans year by year and shows the break-even point for your inputs.
Does Airbnb earn more than long-term rent?+
Often gross revenue per night × booked nights exceeds a monthly lease — but management, cleaning, platform fees and vacancy eat 20–40%. The calculator compares net positions over your horizon, not headline nightly rates. Long-term rent is steadier; short-term revenue is lumpier and more work.
What costs should I include?+
Buying: down payment, notary and purchase taxes, full mortgage payments, annual property tax (IMU), condo fees and a maintenance reserve (% of value). Airbnb: add management % on gross revenue (cleaning, platform, extra utilities). Renting: monthly rent only in this model — add tenant insurance or parking separately if they apply to you.
How does appreciation affect the result?+
Higher annual appreciation raises final property value and equity, which lowers the net cost of buying. It does not change rent totals. Use conservative assumptions — past city booms are not a forecast. A 0% appreciation line shows the pure cash-flow picture if prices stay flat.