Opportunity Cost
nounop·por·tu·ni·ty costpronounced op-uh-TYOO-nuh-tee KOST
Last reviewed 16 April 2026
What does the noun Opportunity Cost mean?
What you give up by choosing one option over another. In deposit planning, the opportunity cost of waiting is the property price growth and equity you miss during the saving period. The opportunity cost of buying sooner is the LMI and higher repayments on a larger loan.
How the noun Opportunity Cost is used
While we saved for a 20% deposit, Sydney prices rose 8%, so the opportunity cost of waiting was about $60,000 in missed equity.
Related words
Cite this entry
MLA citation: "Opportunity Cost." How to Property, 16 Apr. 2026, https://howtoproperty.com.au/definitions/opportunity-cost. Accessed 30 May 2026.
Chicago citation: How to Property. "Opportunity Cost." Last modified April 16, 2026. https://howtoproperty.com.au/definitions/opportunity-cost.
APA citation: How to Property. (2026, April 16). Opportunity Cost. https://howtoproperty.com.au/definitions/opportunity-cost