Rent vs buy calculator · England

Rent vs buy in Peterborough: is it cheaper to rent or buy?

Buying leaves you £50,686 better off after 7 years. Owning a 2-bed terraced house costs about £1,329 a month, against £1,065 to rent the same size home.

After 7 years
Buy +£50,686
Difference in net wealth
Monthly cost to own
£1,329
Mortgage £980, of which £296 is capital
Monthly cost to rent
£1,065
Rent £895 plus council tax
Median price
£190,000
terraced house
Cash needed to buy
£19,000
£19,000 deposit + £0 SDLT
Price-to-rent ratio
17.7
Price divided by a year of rent

Renting vs buying in Peterborough by home size

Rent vs buy in Peterborough by number of bedrooms
BedroomsPriceRent / moOwning vs renting / moAfter 7 yrs
1 bed£125,000£710+£60Buy £47,374
2 bed£190,000£895+£264Buy £50,686
3 bed£240,000£1,079+£380Buy £58,771
4+ bed£345,000£1,555+£532Buy £83,806

Average rent and house prices in Peterborough

The ONS average private rent in Peterborough is £1,012 a month (Aug 2026, provisional), up 4.9% on a year earlier. The median price paid is £242,500 (ONS median price paid, year ending Mar 2026).

Default scenario: 2-bed home, 7 years stay, 10% deposit, 4.80% fixed mortgage, monthly difference invested in a S&S ISA at 7.5%. Council tax is £2,039 a year (Band C) and is paid whether you rent or buy, so it does not change the verdict.

Renting or buying in Peterborough: FAQs

Is it cheaper to rent or buy in Peterborough?

For a 2-bed home in Peterborough, owning costs about £1,329 a month and renting about £1,065, both including council tax. Buying leaves you £50,686 better off after 7 years. This assumes a 2-bed home, 7 years stay, 10% deposit, 4.80% fixed mortgage, monthly difference invested in a S&S ISA at 7.5%.

What is the average rent in Peterborough?

The ONS average private rent in Peterborough is £1,012 a month across all home sizes (Aug 2026, provisional), with £710 for 1 bed, £895 for 2 bed, £1,079 for 3 bed, £1,555 for 4 or more bed. Rents rose 4.9% over the past year.

What is the average house price in Peterborough?

The median price paid in Peterborough is £242,500 (ONS median price paid, year ending Mar 2026). The calculator uses £190,000 for a terraced house, the property type typical for a 2-bed home.

How much is stamp duty on an average home in Peterborough?

A first-time buyer paying £190,000 would pay £0 in SDLT. With a 10% deposit of £19,000, the cash needed on day one is about £19,000.

What is the price-to-rent ratio in Peterborough?

About 17.7: the 2-bed price is 17.7 times a year of rent. Higher ratios favour renting; lower ratios favour buying.

Which home size is best value to buy in Peterborough?

On the default assumptions, a 4+-bed home gives buying its strongest position: buying ahead by £83,806 after 7 years.

Areas with a similar price-to-rent ratio

Browse every local authority.