Rent vs Buy Calculator
Use our Rent vs Buy calculator to compare Perth rental costs against mortgage repayments and see what’s cheaper.
In 2026, Western Australia’s property market presents a unique challenge. With Perth median rents reaching record highs of $720+ per week and vacancy rates remaining incredibly tight, many West Australians are asking the same question: “Am I better off paying off my own mortgage instead of my landlord’s?”
Our Rent vs. Buy Calculator takes the guesswork out of the equation. By comparing your current rent against potential mortgage repayments, property growth, and upfront costs, you can see exactly when buying becomes the smarter financial move.
Renting vs. Buying in WA: The 2026 Landscape
The financial gap between renting and buying has shifted significantly. Here’s why more people are choosing to build or buy with Westgate Home Loans this year:
The Case for Buying
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Building Equity: Every mortgage repayment is an investment in your future wealth, not a “sunk cost” like rent.
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Capital Growth: Perth property prices are forecast to grow by nearly 13% in 2026, meaning your home could earn more in equity than you do in salary.
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Repayment Stability: While rents can jump 5–10% annually, a fixed-rate mortgage gives you certain, predictable housing costs.
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First Home Benefits: Eligible WA buyers can access the First Home Owner Grant ($10,000) for new builds and pay $0 Stamp Duty on homes up to $500,000.
The Case for Renting
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Lower Upfront Costs: You only need a bond and two weeks’ rent, rather than a 5–20% deposit.
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Flexibility: Ideal if you plan to move within the next 2 years for work or lifestyle.
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Zero Maintenance: The landlord is responsible for rates, insurance, and major repairs.
Where Buying is Cheaper Than Renting
Recent 2026 data shows that in over 60% of WA unit markets and dozens of outer-metro suburbs, weekly mortgage repayments are now lower than median weekly rents.
Westgate Insight: If you are currently paying $700/week in rent, you could potentially service a mortgage of approximately $550,000 to $600,000 (depending on interest rates). Our calculator will show you your personal “break-even” point.
Why Westgate Home Loans is the Right Choice
As the dedicated finance arm for Summit Homes Group, we specialise in helping renters transition into homeowners.
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Low-Deposit Solutions: We help you navigate the 5% Deposit Scheme (First Home Guarantee), allowing you to buy sooner without a massive 20% deposit.
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Rent-to-Build Expertise: We coordinate with builders to ensure your construction loan is managed while you’re still paying rent, minimising financial stress during the build.
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Accurate Costs: Our brokers look at local WA council rates, water adjustments, and insurance costs to give you a realistic “buy” figure.
Frequently Asked Questions
Q. How long do I need to stay in a house for buying to be worth it?A.
A. Generally, the “break-even” point in WA is currently 3 to 5 years. This allows property value growth to offset your initial buying costs like stamp duty and legal fees.
Q. Does the calculator factor in the First Home Owner Grant?
A. Yes, our specialised tool allows you to input grants and stamp duty concessions specific to Western Australia, which can drastically reduce your “upfront cost” total.
Q. What are the ‘hidden’ costs of buying?
A. Aside from the mortgage, you should budget for Council Rates, Water Rates, Building Insurance, and a maintenance fund (usually 1% of the home’s value per year). Our calculator includes these variables for a fair comparison.
