Statistics · 2026 · Real Estate
Rent vs. Buy Statistics (2026)
At a 7.28% mortgage rate, WealthyBud estimates that owning costs more per month than renting in 921 of 923 U.S. metros with data, and in 396 of 396 metros with 100,000 or more people. The median metro gap is $1,037 a month. This is an estimate: it counts mortgage payment and property tax, omits insurance, HOA fees and maintenance, and compares them with Census gross rent, which includes renter-paid utilities.
Key takeaways
- At the Freddie Mac 30-year rate of 7.28% (October 1, 2026), the median metro’s estimated owning cost is $2,028 a month against a median gross rent of $944 (923 metros).
- Owning costs more than renting in 921 of 923 metros, and in 396 of 396 metros with 100,000 or more people.
- Among those 396 larger metros, the median ratio of owning cost to rent is 2.05 to 1.
- At last year’s 6.34% rate, owning costs no more than renting in 7 metros, against 2 today.
- 465 of 923 metros have no break-even rate, because owning costs more than renting even at 0%; the median over the other 458 is 1.58%.
- The median price-to-rent ratio is 27.5, by WealthyBud’s calculation.
Is it cheaper to rent or buy a home in 2026?
By WealthyBud’s estimate, owning costs more than renting in 921 of 923 metros at 7.28% (Freddie Mac, October 1, 2026). The estimate adds mortgage payment and property tax, leaves out insurance, HOA fees and maintenance, and compares them with Census gross rent, which includes renter utilities. List prices are September 2026; rents are 2019–2023.
1. Owning costs more in 921 of 923 metros
2 of the 923 metros show owning below renting (Canton, IL and Selma, AL), both outside the 100,000-resident pool. Among the 396 metros with 100,000 or more people, 0 do (WealthyBud data · 396 metros of 100,000 or more people · 2023 ACS 5-year · September 2026).
2. Freddie Mac: the 30-year rate averaged 7.28% on October 1, 2026
The Freddie Mac survey says: “The 30-year fixed-rate mortgage averaged 7.28% as of October 1, 2026, up from last week when it averaged 7.03%. A year ago at this time, the 30-year FRM averaged 6.34%.” Every estimate here uses 7.28%.
3. Census benchmark: owners with a mortgage paid $2,035 a month, renters $1,487
The Census Bureau reports “The median monthly owner costs for U.S. homeowners with a mortgage increased to $2,035 in 2024” and a 2024 median gross rent of $1,487. These are Census survey figures for current households, so they do not match the metro estimates.
How much more does owning cost each month?
The median metro’s estimated owning cost exceeds its median gross rent by $1,037 a month, and by $1,202 among the 396 metros with 100,000 or more people. The estimate assumes a 20% down payment and a 30-year fixed loan, both WealthyBud assumptions. It omits insurance, HOA fees and maintenance, and rent includes utilities.
4. Median monthly gap: $1,037 (all metros), $1,202 (100,000 or more people)
The gap is estimated owning cost minus median gross rent in each metro. The 396 larger metros have a median owning cost of $2,320 against a median rent of $1,084 (WealthyBud data · 923 metros · 2023 ACS 5-year · September 2026).
5. Median ratio of owning cost to rent: 2.05 to 1 (100,000 or more people)
Owning costs at least three times rent in 23 of the 396 larger metros and less than 1.5 times rent in 27 (WealthyBud data · 396 metros of 100,000 or more people · 2023 ACS 5-year · September 2026).
6. Census definition: gross rent includes renter-paid utilities
The 2023 ACS subject definitions say: “Gross rent is the contract rent plus the estimated average monthly cost of utilities (electricity, gas, and water and sewer) and fuels (oil, coal, kerosene, wood, etc.) if these are paid by the renter (or paid for the renter by someone else).” The owning estimate has no utilities, so it understates owning costs relative to a like-for-like comparison.
7. Census: a median $135 monthly HOA or condo fee, not in the estimate
The Census Bureau says: “Overall, the monthly median condo or HOA fee in 2024 was $135.” Owners who pay it spend more than the estimate shows.
The payment includes principal, which builds equity. The estimate does not count the down payment as a cost or charge any opportunity cost on it, and it ignores tax effects and price changes.
Where is buying cheaper than renting?
No metro with 100,000 or more people has an estimated owning cost below its median gross rent at 7.28%. The closest is Johnstown, PA, where owning is estimated at 1.07 times rent. The estimate omits insurance, HOA fees and maintenance, and the rent figure includes utilities.
8. Johnstown, PA is closest: 1.07 times rent
Owning is estimated at $785 a month against $733 rent. Saginaw, MI is next at 1.22 times (WealthyBud data · 396 metros of 100,000 or more people · 2023 ACS 5-year · September 2026).
9. 2 metros have owning below renting, all smaller than 100,000 people
Canton, IL and Selma, AL show owning cost under rent, at list prices of $99,900 and $103,425, and fall outside every ranking here (WealthyBud data · 923 metros · 2023 ACS 5-year · September 2026).
| Rank | Metro | Estimated monthly owning cost | Median gross rent (ACS) | Owning cost ÷ rent |
|---|---|---|---|---|
| 1 | Johnstown, PA | $785 | $733 | 1.07 |
| 2 | Saginaw, MI | $1,119 | $921 | 1.22 |
| 3 | Muncie, IN | $1,111 | $874 | 1.27 |
| 4 | Pottsville, PA | $1,079 | $842 | 1.28 |
| 5= | Altoona, PA | $1,117 | $854 | 1.31 |
| 5= | Charleston, WV | $1,144 | $872 | 1.31 |
| 5= | Lake Charles, LA | $1,406 | $1,070 | 1.31 |
| 8= | Sunbury, PA | $1,108 | $821 | 1.35 |
| 8= | Terre Haute, IN | $1,158 | $857 | 1.35 |
| 10= | Decatur, IL | $1,083 | $797 | 1.36 |
| 10= | Wheeling, WV | $1,093 | $801 | 1.36 |
Metros that display the same ratio share a rank (marked =). The table includes every metro tied with the tenth. Owning cost is a WealthyBud estimate.
Where is renting the biggest bargain?
Santa Barbara, CA has the highest ratio, with owning estimated at 5.06 times median gross rent, followed by Kalispell, MT at 4.90. The ranking covers 396 metros with 100,000 or more people. It compares September 2026 list prices with 2019–2023 rents, so it describes a gap and does not recommend renting.
10. Santa Barbara, CA: owning costs $8,315 more each month
That is $10,365 against $2,050, on a $1.72M median list price (WealthyBud data · 396 metros of 100,000 or more people · 2023 ACS 5-year · September 2026).
- Santa Barbara, CA has an estimated $10,365 owning cost against $2,050 rent (5.06 times).
- Kalispell, MT has an estimated $5,366 owning cost against $1,094 rent (4.90 times).
- Missoula, MT has an estimated $4,568 owning cost against $1,118 rent (4.09 times).
Run your own rent-versus-buy numbers for any metro
What mortgage rate would make buying break even?
Owning costs more than renting even at a 0% rate in 465 of 923 metros, so those have no break-even rate. The other 458 have a median break-even of 1.58%, found by bisection between 0% and 15%. The estimate omits insurance, HOA fees and maintenance, and rent includes utilities.
11. 465 of 923 metros never break even, even at 0%
At 0% the payment is principal and property tax only, and it still exceeds rent. Among the 396 larger metros, 194 have no break-even rate (WealthyBud data · 923 metros · 2023 ACS 5-year · September 2026).
12. Median break-even rate: 1.58% (n = 458 metros with one)
It covers only the 458 metros with a break-even, so it is not a national rate. The larger-metro median is 1.41% over 202 metros. 2 of the 458 are at or above today’s 7.28% (WealthyBud data · 923 metros · 2023 ACS 5-year · September 2026).
13. 2 metros are at or below break-even today; 7 were at last year’s 6.34%
Re-running the estimate at the 6.34% rate from a year earlier (Freddie Mac) moves the count from 2 to 7 of 923 metros, holding prices, taxes and rents fixed (WealthyBud data · 923 metros · 2023 ACS 5-year · September 2026).
| 30-year mortgage rate | Metros out of 923 | Metros of 100,000 or more people (out of 396) |
|---|---|---|
| 7.28% (Freddie Mac, October 1, 2026) | 2 | 0 |
| 6.34% (a year earlier) | 7 | 1 |
| 5.00% | 17 | 1 |
| 4.00% | 41 | 9 |
| 3.00% | 90 | 30 |
| 2.00% | 183 | 73 |
| 0.00% | 458 | 202 |
Each row re-prices the 30-year loan at the stated rate with prices, tax rates and rents unchanged. Counts include metros where owning cost equals rent.
What is the price-to-rent ratio?
By WealthyBud’s calculation from list price and ACS gross rent, the median price-to-rent ratio is 27.5 across 923 metros, meaning the list price equals 27.5 years of rent. The ratio divides September 2026 Realtor.com list prices by 12 times 2019–2023 Census rents, and it ignores mortgage rates.
14. Median price-to-rent ratio: 27.5 (923 metros)
The 396 metros with 100,000 or more people have a median of 27.0 (WealthyBud data · 923 metros · 2023 ACS 5-year · September 2026).
15. Santa Barbara, CA is highest at 69.9; Johnstown, PA is lowest at 13.6
Among metros of 100,000 or more people, 134 of 396 exceed 30 and 34 fall below 20. Prices are listing asks, not sale prices (WealthyBud data · 396 metros of 100,000 or more people · 2023 ACS 5-year · September 2026).
For rent levels alone, see rent statistics; for property taxes, see property tax statistics.
What this means for renters and buyers
For renters, owning costs most relative to rent in markets such as Santa Barbara, CA. Track the rate in mortgage rate statistics; the rate-sensitivity table shows how the count changes with the rate.
For prospective buyers, the costs this page leaves out would raise the owning figure, and sale prices can differ from list prices. See homeownership statistics for who owns today.
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