{
  "slug": "sell-vs-rent-your-house-cost",
  "title": "Sell vs Rent Your House Cost Calculator",
  "heading": "Sell vs Rent Your House Calculator",
  "category": "financial",
  "url": "https://www.revenuelab.fyi/toolbox/sell-vs-rent-your-house-cost",
  "summary": "Compare the net proceeds of selling your home against becoming a landlord and renting it out.",
  "description": "Selling your house converts your equity into cash immediately after agent fees and closing costs, while renting it out generates ongoing cash flow and potential appreciation but comes with landlord responsibilities, vacancy risk, and management costs. This tool compares net sale proceeds against the projected net income plus appreciation from renting over your chosen holding period.",
  "formula": "Sell Net = Sale Price × (1 − Agent/Closing %) − Remaining Mortgage. Rent Net = (Monthly Rent − Expenses) × 12 × Years + Appreciation − Remaining Mortgage.",
  "dateModified": "2026-09-06",
  "run_url": "https://www.revenuelab.fyi/api/public/calc?tool=sell-vs-rent-your-house-cost",
  "inputs": [
    {
      "id": "homeValue",
      "label": "Current home value",
      "kind": "number",
      "hint": null,
      "default": 400000,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "remainingMortgage",
      "label": "Remaining mortgage balance",
      "kind": "number",
      "hint": null,
      "default": 220000,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "sellingCostPercent",
      "label": "Agent + closing cost %",
      "kind": "number",
      "hint": null,
      "default": 7,
      "unit": "%",
      "min": 0,
      "max": 15
    },
    {
      "id": "monthlyRent",
      "label": "Expected monthly rent",
      "kind": "number",
      "hint": null,
      "default": 2400,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "monthlyExpenses",
      "label": "Monthly expenses (mgmt, maintenance, vacancy)",
      "kind": "number",
      "hint": null,
      "default": 800,
      "unit": "$",
      "min": 0,
      "max": null
    },
    {
      "id": "years",
      "label": "Years to hold as rental",
      "kind": "number",
      "hint": null,
      "default": 7,
      "unit": null,
      "min": 1,
      "max": 20
    },
    {
      "id": "appreciationRate",
      "label": "Annual home appreciation",
      "kind": "number",
      "hint": null,
      "default": 3.5,
      "unit": "%",
      "min": 0,
      "max": 10
    }
  ],
  "outputs": [
    {
      "id": "winner",
      "label": "Higher net financial outcome",
      "format": "raw",
      "hint": null,
      "primary": true
    },
    {
      "id": "sellNet",
      "label": "Net proceeds from selling now",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "rentNet",
      "label": "Net value from renting over horizon",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "diff",
      "label": "Difference over horizon",
      "format": "currency",
      "hint": null,
      "primary": false
    }
  ],
  "worked_example": {
    "inputs": [
      "Current home value: 400000 $",
      "Remaining mortgage balance: 220000 $",
      "Agent + closing cost %: 7 %",
      "Expected monthly rent: 2400 $",
      "Monthly expenses (mgmt, maintenance, vacancy): 800 $",
      "Years to hold as rental: 7",
      "Annual home appreciation: 3.5 %"
    ],
    "outputs": [
      "Higher net financial outcome: Sell Now",
      "Net proceeds from selling now: $152,000",
      "Net value from renting over horizon: $23,312",
      "Difference over horizon: $128,688"
    ]
  },
  "how_to": {
    "title": "How to use this",
    "steps": [
      "Enter current home value ($).",
      "Enter remaining mortgage balance ($).",
      "Enter agent + closing cost % (%).",
      "Enter expected monthly rent ($).",
      "Enter monthly expenses (mgmt, maintenance, vacancy) ($).",
      "Enter years to hold as rental.",
      "Enter annual home appreciation (%).",
      "Read your higher net financial outcome on the right — it updates as you type.",
      "Hit Share to keep the scenario or send it to someone."
    ]
  },
  "scenarios": [
    {
      "name": "Conservative",
      "description": "Lower-end numbers — what if things land soft?",
      "values": {
        "homeValue": 240000,
        "remainingMortgage": 130000,
        "sellingCostPercent": 4.2,
        "monthlyRent": 1450,
        "monthlyExpenses": 500,
        "years": 4,
        "appreciationRate": 2.1
      }
    },
    {
      "name": "Typical",
      "description": "Defaults — the most common real-world setup.",
      "values": {
        "homeValue": 400000,
        "remainingMortgage": 220000,
        "sellingCostPercent": 7,
        "monthlyRent": 2400,
        "monthlyExpenses": 800,
        "years": 7,
        "appreciationRate": 3.5
      }
    },
    {
      "name": "Ambitious",
      "description": "Higher-end numbers — what if things really pop?",
      "values": {
        "homeValue": 640000,
        "remainingMortgage": 350000,
        "sellingCostPercent": 11.200000000000001,
        "monthlyRent": 3850,
        "monthlyExpenses": 1300,
        "years": 11,
        "appreciationRate": 5.6000000000000005
      }
    }
  ],
  "limitations": [
    "Results are estimates before tax, fees, and inflation unless an input explicitly covers them.",
    "Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.",
    "This is educational maths, not financial advice. Check anything contractual with the lender or your accountant."
  ],
  "faq": [
    {
      "q": "Does this include tax implications?",
      "a": "No — selling a primary residence may qualify for capital gains exclusions, while rental income and depreciation recapture have their own tax rules; consult a tax advisor for your specific situation."
    },
    {
      "q": "What's the biggest risk in the rental scenario?",
      "a": "Vacancy and unexpected major repairs are the most common surprises; the monthly expenses input should include a healthy vacancy and repair reserve, not just routine costs."
    },
    {
      "q": "Should I hire a property manager?",
      "a": "A property manager typically costs 8-10% of rent and is included in the monthly expenses input if you want hands-off ownership rather than self-managing."
    }
  ],
  "related": [
    "https://www.revenuelab.fyi/toolbox/buy-vs-rent-home-cost",
    "https://www.revenuelab.fyi/toolbox/airbnb-vs-long-term-rental-cost"
  ],
  "license": "CC-BY-4.0",
  "citation": "RevenueLab — Sell vs Rent Your House Cost Calculator (https://www.revenuelab.fyi/toolbox/sell-vs-rent-your-house-cost)"
}