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Rent vs Buy Calculator Georgia
Compare renting and buying in your situation — how much wealth you would have after a given number of years if the same money went into an apartment or into savings. The model is transparent: you change every assumption.
This model is not a forecast — the result depends on the assumptions you enter (rent growth 5%, purchase costs 2.5%, selling costs 2%, upkeep 0.8%/yr). Not financial advice.
Fixed model assumptions: rent growth 5%/yr · one-off purchase costs 2.5% (transfer tax, notary, agent) · selling costs 2% · upkeep and taxes 0.8%/yr of price.
How the comparison works
Your money works on both paths: when buying, it sits in home equity (value minus remaining loan); when renting, the down payment and purchase costs stay invested at deposit rates. Whoever pays less per month invests the difference — so the same budget is compared on two fate paths.
Georgian specifics: individuals get no mortgage-interest deduction, so the model applies none. GEL deposits historically yield 6–9% — a real competitor to property: when prices rise slowly, savings outrun the apartment.
In general: the longer you stay, the more buying gains — one-off purchase costs take years to recoup. On short horizons (1–3 years) renting is usually cheaper; on long horizons (10+ years) buying usually pulls ahead. But the outcome always follows the numbers you enter.
Frequently asked questions
What exactly does this calculator compare?
Wealth at the same future moment on two paths: buying — current home value minus remaining loan and selling costs; renting — savings where the down-payment equivalent and the monthly difference accumulate at deposit rates. Housing costs are counted on both sides.
When does renting win in Georgia?
When the horizon is short (1–3 years), prices rise slowly or stagnate, deposit rates are high and rent is cheap relative to the monthly cost of owning. In such periods the one-off purchase costs never get recouped.
When does buying win?
When you stay put for years, prices grow steadily and the mortgage rate is reasonable. Part of every monthly payment builds equity, while inflation keeps raising rent — two effects that work in buying’s favor as time passes.
Is this financial advice?
No. The calculator runs a deterministic model on the assumptions you enter and forecasts nothing. For a real decision also weigh income stability, currency risk (on GEL loans) and specific bank terms.
Decide with numbers
Verified listings with AI price estimates — compare real homes for sale and for rent.