Cash vs Mortgage Comparison

Compare the net cost of paying cash versus taking a mortgage. This calculator factors in property appreciation, investment returns on unused cash, and the remaining mortgage balance.

Purchase Information

Mortgage Details

Investment & Analysis Period

Results

Net Cost of Cash Purchase
$0
Net Cost of Mortgage
$0
Monthly Mortgage Payment
$0
Enter values to compare
$0

Cash Purchase Breakdown

Purchase Price $0
Closing Costs $0
Property Appreciation -$0
Net Cost of Cash Purchase $0

Mortgage Purchase Breakdown

Down Payment $0
Closing Costs $0
Mortgage Payments $0
Investment Balance $0
Remaining Mortgage Balance -$0
Net Investment Benefit -$0
Property Appreciation -$0
Net Cost of Mortgage $0
How This Comparison Works

Cash Scenario: You pay the full purchase price plus closing costs. Your net cost is reduced by property appreciation over the analysis period.

Mortgage Scenario: You pay a down payment and closing costs, then invest the remaining cash. You make monthly mortgage payments from income. At the end, the investment balance minus the remaining mortgage balance determines your net benefit.

Key Assumption: Both scenarios benefit equally from property appreciation. The comparison isolates the financing decision: is the return on invested cash greater than the cost of the mortgage?