ETF versus property calculator

What could the same equity and monthly budget become?

A useful comparison has to count more than the future property price. This one separates debt, acquisition and sale costs, maintenance, an optional rent benefit, ETF tax and any cash-budget shortfall.

One cash budget, two uses

Both paths get the same starting equity and the same monthly budget on top of housing. Monthly amounts rise with inflation; results are inflation-adjusted.

Starting equity€ Monthly budget after housing costs€What is left to invest once you have paid rent. The owner spends the same total: rent avoided goes to the mortgage instead. Comparison horizonyears Property purchase price€ Property useThe cash flow and tax treatment differ materially; choose the actual use rather than blending them. Monthly housing flow€Owner mode: comparable cold rent avoided. Rental mode: gross cold rent before vacancy, management, repairs and income tax. Inflation%

Property financing and cost assumptions

Purchase transaction costs% Mortgage interest% Mortgage termyears Mortgage fixed-rate periodyears Refinancing rate after the fixed period%Required for a winner when debt remains after the fixed-rate period; this is a stress scenario, not a forecast. Annual maintenance% Annual property appreciation% Sale costs at the horizon%

Rental-property tax and operating assumptions

Vacancy and rent loss% Monthly management not passed on€ Monthly deductible maintenance spent€ Marginal income-tax rate% Building share of acquisition cost% Building depreciation rate% Private sale tax scenario Sale gain tax rate%Optional; the marginal rate is used when this is blank.

These fields affect only rental-property mode. A negative modeled tax is a potential loss offset, not a guaranteed refund.

ETF and tax assumptions

ETF return before fund costs% Annual fund costs% Base tax rate on investment income% Fund partial exemption%The allowance is applied after the exempt share, then the base tax rate is charged. Tax-free allowance at final ETF sale€

No winner is shown yet

Which path ends with more?A winner requires equal external cash flows and an explicit financing path through the entire horizon.

ETF path

€708,439after estimated gain tax, inflation-adjusted

Gross ETF value: €786,822
Estimated tax on final sale: − €78,383
Invested from the budget: €460,000
Rent paid over the period: €240,000

Property path

€579,370property exit equity plus side ETF, inflation-adjusted

Property value: €362,732
Remaining mortgage: − €94,223
Sale costs: − €10,882
Side ETF after tax: + €321,742
Cash paid, including shortfalls: €460,000
Housing paid instead of rent: €240,000

Initial mortgage payment€1,527

Initial monthly maintenance€333

Real mortgage interest paid€146,983

Cumulative housing benefit€240,000

Open the ETF side in the Full Simulator

What is kept equal

Starting equity, monthly budget and time

The property path uses equity for transaction costs and a down payment. The ETF path invests it. Both receive the same inflation-linked monthly cash amount.

What remains user-defined

Housing benefit and local transaction costs

Rent avoided can be economically important, but it is not universal. Enter the benefit that belongs to your situation and the purchase-cost percentage for your location.

Important limitations

What still remains outside the model

Property: location, major renovation, financing fees, liquidity and the time needed to sell. Owner-occupied mode assumes no sale-gain tax; rental mode offers an explicit taxable-sale scenario but not every § 23 exception or loss rule. ETF: allowance harvesting is modeled annually, while distributions and the Vorabpauschale are not modeled separately.