Debt vs Invest Calculator

Compare mortgage terms & strategies to find your optimal wealth-building path

Your Financial Profile
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Maximum available for down payment + investing
If checked, mortgage interest reduces taxable income
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= Cash on Hand − Down Payment
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Groceries, utilities, insurance, etc. (excl. housing)
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Show future values in today's purchasing power
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This scenario invests the down payment and monthly savings (Buy Cost - Rent) into the market.
Mortgage Terms
* Calculations assume standard fixed-rate mortgages
Scenario Optimizer

Iterate through different down payments, term lengths, and extra payments to find the mathematically optimal strategy for your budget.

Uses your Total Cash on Hand from Investments section to determine down payment range (from $0 up to your max).

Sensitivity Analysis

See which strategy wins at different investment return rates. Your current rate is highlighted.

Why Do Results Converge?
When investment returns are close to mortgage rates, the interest saved by paying off early is almost exactly offset by the extra investment gains from having more money in the market earlier. The 30-year mortgage invests more in the early years (compounding longer), while the 10-year pays less interest but invests less early on.
Scenario Comparison at Year 30
Best Strategy
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Break-Even Return
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Below: pay debt. Above: invest.
Net Worth Difference
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Best vs Worst
Rent vs Buy Break-even
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Year buying wins
Scenario Monthly P&I Payoff Total Interest Home Value Home Equity Investments Net Worth
Net Worth Over Time
Monthly Cash Flow Over Time

See how your monthly surplus changes. Dramatic spike when mortgage is paid off!

Detailed Breakdown