Question 1

Is it better to rent or buy a home in Nova Scotia?

Accepted Answer

It depends on your time horizon, the rent you'd pay, the home price, your down payment, and your investment return on saved cash. As a rule of thumb in Halifax, Dartmouth, and Bedford right now: if you'll stay 7+ years, buying usually wins on the math because of mortgage paydown plus modest appreciation. Under 4 years, renting and investing the difference often wins because closing costs and selling fees haven't been amortized. This calculator does the actual math for your numbers — don't guess.

Question 2

How do I calculate the breakeven year between renting and buying?

Accepted Answer

Breakeven is the first year where your net worth as a homeowner (home value minus remaining mortgage minus selling fees) catches up to your net worth as a renter (down payment + closing costs invested, plus the monthly cash flow difference invested each month at your return rate). This page plots both lines year-by-year and marks the crossover.

Question 3

Does this calculator include CMHC mortgage insurance?

Accepted Answer

Not as a separate premium add-on. For accuracy, if your down payment is under 20%, increase the purchase price by the CMHC premium (1.7% to 4.0% depending on LTV) before plugging it in — or use a 20%+ down payment to model an uninsured scenario. Use the standalone Mortgage Payment Calculator for an exact CMHC-inclusive payment.

Question 4

What about closing costs, deed transfer tax, and selling fees?

Accepted Answer

Closing costs (deed transfer tax + legal) are added to your up-front buy cost and reduce the down payment available for investing in the rent scenario. Realtor commission on sale is subtracted from your home equity in the buy scenario at year N. Default HRM deed transfer is 1.5% and legal $2,000 — adjust if your municipality differs.

Question 5

What return should I assume on invested savings?

Accepted Answer

5% is a conservative long-run real estate / balanced portfolio assumption. Use 3% for a high-interest savings account or GIC, 5% for a balanced ETF portfolio, 7% for an equity-heavy portfolio. The lower the return assumption, the better buying looks; the higher it goes, the better renting looks. Run both ends to stress test your decision.

Question 6

What doesn't this calculator account for?

Accepted Answer

It ignores moving costs, lifestyle factors (yard, pets, stability, commute), market volatility (your portfolio doesn't actually return exactly 5% every year), tenant headaches, repairs above the maintenance % allowance, refinance costs at renewal, and tax differences between primary residence and taxable investments. Use it for the financial baseline, then weigh the rest yourself.

Rent vs Buy Calculator — 10-Year Wealth Comparison (Canada)

Renting

Buying

Time horizon

Assumptions used

Honest caveat

Rent vs buy — common questions