Buy or Rent Calculator

In Montreal, the median condo price exceeds $550,000 in 2026. If you rent a comparable unit at about $1,500/month ($18,000/year), the price-to-rent ratio exceeds 30x. When this ratio exceeds 20x, it's generally a signal that renting is more advantageous in the short and medium term.

That said, Montreal has historically experienced 4-6% per year property appreciation. Thanks to leverage (you buy a $550,000 property with only $110,000 down), your gains are amplified. Over a 10-year horizon or more, buying can become significantly more profitable, especially if mortgage rates decline.

In summary: in Montreal, if you plan to stay less than 7 years, renting and investing the difference is probably more profitable. Beyond that, buying starts to pull ahead.

Buying at 50 or 55 can still be a good choice, but the rules change. Your amortization will likely be 15 to 20 years instead of 25, which increases your monthly payments. However, you'll repay principal faster, which constitutes a form of forced savings before retirement.

Important points to consider after 50: does your down payment reduce your RRSPs or TFSAs too much? Are the mortgage payments sustainable once retired? Do you plan to stay at least 10 years in this property? If the answer is yes to the last two questions and you have a sufficient down payment without sacrificing your retirement, buying can be advantageous.

If you already own a home mortgage-free at 55, that's often the best situation: no rent, no payment, and an asset that appreciates in value.

At 80, staying a renter is generally the best option for most people. Here's why: a property requires constant maintenance (roof, plumbing, yard), which becomes physically difficult and costly if you have to hire everything out. Property taxes and insurance continue to rise every year, even when the mortgage is paid off.

As a renter, your money stays liquid in an investment portfolio. If you need to move quickly (for health reasons or to be closer to family), you can do so without going through a selling process that takes months and costs thousands in brokerage.

If you own a home at 80 and maintenance becomes a burden, selling and renting can free up significant capital to fund your quality of life, home care, or a seniors' residence.

Many people simply compare their mortgage payment to their rent, but the true cost of homeownership is much higher. Here's what's often forgotten:

At purchase: transfer duties (welcome tax) cost 0.5% to 3% of the price. For a $450,000 property in Montreal, that's about $6,500. Add notary fees ($1,000 to $2,500) and the pre-purchase inspection ($500 to $800).

Every year: property taxes represent 0.5% to 1.5% of the value. Maintenance and repairs cost about 1% of the value per year ($4,500/year for a $450,000 home). If your down payment is less than 20%, CMHC insurance adds 2.8% to 4% to your mortgage amount.

At resale: real estate brokerage costs 4% to 5% of the selling price. On a $500,000 property, that's $20,000 to $25,000 coming straight out of your profits.

The calculator simulates two scenarios in parallel over the number of years you choose.

Buyer scenario: you buy a property with your down payment. Each year, the property appreciates in value (based on the chosen appreciation rate) and you repay a portion of the mortgage. At the end, your net worth = property value - remaining mortgage balance - selling costs (brokerage).

Renter scenario: instead of buying, you invest your down payment in the stock market. Each month, the difference between what you would have paid as a homeowner and your rent is also invested. At the end, your net worth = the value of your investment portfolio.

The scenario that leaves you with the highest net worth is the winner. It's as simple as that.