How to read the result
The lower average monthly cost label includes entered commute expense. The common comparison period defaults to the shorter lease, or you can enter a period within both leases. Costs over that period multiply each full-lease monthly average; they do not forecast actual payment timing. Each full lease commitment is shown separately. The cheapest estimate is not the best home overall.
Cost per square foot uses effective all-in housing cost before commute. It can describe how much space each monthly housing dollar buys, but it does not measure layout quality, condition, location, light, noise, or personal preference.
What the estimate includes
- The same concession, fee, and net-rent formulas for both apartments.
- Effective base rent, all-in monthly housing cost, and total lease cost.
- Optional monthly commute expense added consistently across each lease term.
- Optional monthly housing cost per square foot.
What it does not include
- Move-in cash timing, refundable deposits, moving costs, and renter-specific insurance.
- Nonfinancial tradeoffs such as neighborhood, management, amenities, or floor plan.
- Commute time unless you separately use the commute calculator for context.
- Future rent changes after the entered lease ends.
Formula v1.1.0
Formula and methodology
Inputs keep their full precision during calculation. Rounding is applied only when a number is formatted for display.
Read the site-wide methodologyShow the full formula
- Each apartment’s effective all-in monthly cost uses the shared lease formula.
- Monthly cost including commute = effective all-in housing cost + entered monthly commute expense.
- Full commitment including commute = nonrefundable lease cost + monthly commute expense × lease months.
- Common-period cost = full-lease average monthly cost including commute × common comparison months. Compare these amounts, not unequal lease totals.
- Monthly cost per square foot = effective all-in housing cost ÷ entered square footage.
Worked example · not a default rate
The same housing cost, a different commute
Inputs
- Apartment A: $2,400 rent, 12 months, one free month, $200 monthly fees, and $100 monthly commute
- Apartment B: $2,300 rent, 12 months, no concession, $100 monthly fees, and no commute expense
- Square footage: 1,200 for A and 1,000 for B
Calculation
- Both apartments produce $2,400 in effective all-in monthly housing cost.
- With commute, A becomes $2,500 per month and $30,000 across the lease; B remains $2,400 and $28,800.
Apartment B has the lower estimated cost under these inputs by $100 per month and $1,200 across the lease. A has the lower housing cost per square foot: $2.00 versus $2.40.
Common mistakes
Check the assumptions before the cents.
- Choosing by gross lease total when the lease lengths are different.
- Entering commute cost for only one apartment without checking the assumption.
- Comparing a concession-adjusted price for one offer with headline rent for the other.
- Calling the lower-cost apartment “better” without considering nonfinancial needs.
Practical guidance
Use the estimate as a comparison tool.
Use the property nicknames only to keep the columns clear; they are not stored or sent to analytics. Keep required fee definitions consistent across both sides.
If the result is close, review the assumptions rather than over-reading a small difference. Utilities, commute patterns, and concession terms often contain more uncertainty than the displayed cents imply.