Skip to content

Rent vs. Buy by City (2026): All Ten Metros Compared

By Sam Sage Last updated 6 min read

Updated for 2026 and reviewed annually to keep the figures current.

TL;DR

We ran ten metros through the same tested engine at the same July 2026 inputs (the Freddie Mac 6.49 percent average rate, 20 percent down, tier-matched comparable rents), and the answer to 'should I rent or buy in 2026' is: it depends on the city more than most advice admits. Net-worth breakeven spans year 4 for an Indianapolis house to year 32 for a San Francisco one, and only Indianapolis hands its preset tenure to buying. Three levers explain the spread. First, the rent you actually compare against, worth up to nine years in New York alone. Second, recurring carry: property tax, insurance, and HOA dues, which decide Austin, Tampa, and Miami respectively. Third, the appreciation you are willing to assume. This page holds the master table, engine-computed from every city's preset, and routes you to the city page whose situation matches yours.

There is no national rent-or-buy answer in 2026, and this page is the proof. We ran ten metros through the same tested engine at the same July 2026 inputs, and net-worth breakeven spans year 4 in Indianapolis to year 32 for a San Francisco house. Only one of twelve city variants hand their preset tenure to buying. Every figure below is computed from the same presets that load in our rent vs buy calculator, so the table and the city pages can never disagree.

Data last updated: July 2026. Rate anchor: Freddie Mac’s Primary Mortgage Market Survey 30-year fixed at 6.49 percent, week of July 9, 2026. Per-city sources, dates, and derivations live in each city page’s sources and methodology sections.

The whole series in one table

Twelve rows: ten cities, with Miami split into its single-family and condo answers (they diverge) and San Francisco shown at both its condo and house tiers (they diverge in magnitude). Sorted fastest buy case first.

All twelve published city and dwelling variants at their July 2026 presets, engine-computed. Verdicts are at each preset's own tenure; breakeven is the first crossover year on a 40-year run.
City (variant) Price Comparable rent Tax Insurance /mo HOA /mo Breakeven Verdict at tenure
Indianapolis, IN $245,000 $1,650 Zumper houses median 0.85% $120 none Year 4 Buying by $7,581 5-year stay
Chicago, IL $420,000 $2,520 Zumper houses 2% $242 none Year 10 Renting by $28,728 6-year stay
Denver, CO $635,000 $2,890 Zumper houses median 0.54% $347 none Year 11 Renting by $8,919 10-year stay
Phoenix, AZ $464,000 $2,240 Zumper houses median 0.55% $217 $200 Year 12 Renting by $34,608 7-year stay
Tampa, FL $443,000 $2,590 Zumper houses median 1.8% $313 none Year 13 Renting by $38,582 8-year stay
Seattle, WA $880,000 $3,700 Zumper houses median 0.92% $130 none Year 14 Renting by $80,834 8-year stay
New York, NY (condo) $750,000 $3,700 Zumper Queens 2BR median 1% $100 $1,000 Year 14 Renting by $66,063 10-year stay
Miami, FL (single-family) $680,000 $3,450 Zumper houses median 1.59% $550 none Year 16 Renting by $70,723 10-year stay
San Francisco, CA (condo) $1,330,000 $5,657 Zumper 2BR median 1.18% $200 $800 Year 16 Renting by $124,799 10-year stay
Miami, FL (condo) $410,000 $2,900 Vendor mid-band 2BR 1.8% $250 $900 Year 18 Renting by $70,731 10-year stay
Austin, TX $525,000 $2,400 SFH comparable (research) 2% $207 none Year 24 Renting by $102,627 7-year stay
San Francisco, CA (house) $2,200,000 $5,950 Zumper houses median 1.18% $350 none Year 32 Renting by $645,969 10-year stay
Breakeven year by city, all twelve published variants When buying pulls ahead, city by city Base-case net-worth breakeven at each July 2026 preset; sorted fastest first Indianapolis, IN year 4 Chicago, IL year 10 Denver, CO year 11 Phoenix, AZ year 12 Tampa, FL year 13 Seattle, WA year 14 New York, NY (condo) year 14 Miami, FL (single-family) year 16 San Francisco, CA (condo) year 16 Miami, FL (condo) year 18 Austin, TX year 24 San Francisco, CA (house) year 32 Net-worth breakeven: the first year buying's cumulative net cost drops to or below renting's. Engine-computed.
The series' central finding as one picture: the same engine, the same rate, and a 28-year spread in when buying pulls ahead.

One row deserves a highlight, and one deserves an asterisk. Indianapolis is the only variant where the preset’s own tenure favors buying: a five-year stay finishes $7,581 ahead. Denver has the second-fastest breakeven at year 11, but its preset tenure is ten years, so it lands on the renting side by $8,919, a genuinely narrow miss. Everywhere else, at these tenures and inputs, renting and investing the difference wins, sometimes narrowly and sometimes decisively (the San Francisco house at $645,969).

Denver also carries the series’ sharpest lesson about a single input. It used to sit in the buy column, on a $2,100 insurance figure we later found was stale by roughly half. At the properly sourced $4,164 Colorado statewide premium, hail-driven and the fastest-rising in the country, the breakeven moved out a year and the verdict flipped. Nothing else about Denver changed. The Denver page tells that story in full, because it is a better lesson than any of our verdicts: recurring carry decides these, and an average is not a quote.

What actually moves these verdicts? (The three levers)

Ranked by the effect sizes we observed across ten cities, not by convention.

First, the rent you compare against. No input moved more verdicts by more years. New York’s breakeven runs 14, 12, 9, or 5 depending on whether you compare the $750,000 condo against a Queens, dossier-average, Brooklyn, or citywide rent (the borough gradient is that page’s centerpiece). Chicago is the cautionary tale this series corrected on itself, twice: at a citywide apartment median its breakeven was year 16, at the tier-matched house figure it was year 9, and re-sourcing a stale insurance premium took it to year 10 (both revisions are documented on the page). The series-wide rule that fixed it: the preset rent must match the dwelling being bought, and cheaper mismatched rents appear only as labeled sensitivity rows.

Second, recurring carry: property tax, insurance, and dues. Austin has cheap houses and no transfer or income tax, and its 2.0 percent property tax still holds breakeven at year 24; its metro tax spread (1.78 to 2.71 percent) spans year 22 to never. Tampa’s insurance quote moves its breakeven from year 12 to year 19 across realistic quotes, and its derived 1.8 percent new-buyer tax moved the whole page by four years. Miami’s condo has the friendliest price-to-rent in the coastal set and loses anyway, because $900 a month of dues plus special-assessment risk outweigh it; Phoenix’s HOA ladder moves its answer more than its celebrated low tax does.

Third, the appreciation scenario. Seattle is the purest case: flat prices never break even, 3 percent crosses in year 14, and 4.5 percent in year 7, in a market that was down 2.3 percent year over year at publication. Every city page carries the same four-scenario ladder so you can see what your own conviction is worth; none of them treats a forecast as a fact. San Francisco adds the long-tenure variant of this lever: Prop 13 caps assessed growth at 2 percent, so the tax subsidy compounds only for owners who stay.

How this series computes its numbers

Every figure is a net-worth breakeven from our tested engine: the first year the buyer walks away with at least as much wealth as the renter, counting sale proceeds net of selling costs and loan payoff against the renter’s invested upfront cash minus cumulative rent. Comparable rents are tier-matched to the dwelling being bought (Zumper medians, dated per page). Property taxes are what a NEW buyer computes from adopted millage with exemptions applied, never tenure-suppressed averages; the derivations are golden-tested in our codebase and explained on the Miami, Tampa, Denver, New York, and San Francisco pages. Transaction taxes sit on the correct side per each jurisdiction’s custom. What the engine deliberately does not model, stated once here and in every city’s assumptions box: the renter’s month-to-month cash-flow savings are not separately reinvested (which tilts results slightly toward buying), income-tax effects and itemized deductions are ignored, utilities are assumed comparable, and one-time events like Miami’s special assessments are priced as labeled lump-sum ladders rather than compounded costs. The full contract is on our methodology page and in the calculator’s assumptions.

Which city page should you read first?

Match your situation, not your zip code. If your stay is under five years anywhere, start with Indianapolis to see the best case buying gets, and note that even there a three-year stay rents. If you are choosing between boroughs or your rent alternative is ambiguous, New York shows how to think in gradients. If you are weighing a condo anywhere in Florida, Miami’s due-diligence checklist and assessment ladder are the template. If insurance quotes scare you, Tampa prices the fear. If your market’s taxes are famous, Austin (high) and Denver (low, derived) bracket the effect, though Denver also shows how fast an insurance line can eat a tax advantage. If you are waiting out a correction, Seattle prices patience. If you are in a master-planned community, Phoenix prices the dues. If you are in the Bay Area, San Francisco will either talk you out of the house or confirm your fifteen-year conviction. And whatever city you are actually in, the calculator takes your numbers raw.

The honest summary

Across ten metros, buying beat renting at the preset tenure exactly twice, and both wins were built on the same three foundations: a genuinely comparable rent, low recurring carry, and enough tenure to amortize the transaction taxes. Renting won everywhere those foundations cracked, usually because the rent being compared was for a cheaper dwelling than the one being bought, or because tax, insurance, or dues quietly doubled the carrying cost, or because the stay was too short for the exit costs. None of this says renting is smarter or buying is smarter. It says the spreadsheet is city-shaped, and the single most useful next step is to open your city’s page, then run your own rent, tax bill, and honest tenure through the calculator. The verdict is yours, not the country’s.

Try the calculator Rent vs Buy CalculatorCompare the true total cost of buying versus renting over the years you plan to stay, including transaction costs, equity, appreciation, and opportunity cost.

Frequently asked questions

Is it cheaper to rent or buy in 2026?
It depends on the city, the dwelling type, and the rent you actually compare against. Across our ten-metro series, the same engine puts breakeven anywhere from year 4 (Indianapolis) to year 32 (a San Francisco house), and eleven of twelve city variants leave renting ahead at their preset tenures.
Which city is best for buying a home in 2026?
Indianapolis, on our engine's math: breakeven in year 4 at a comparable house rent, with a five-year stay finishing $7,581 ahead of renting. It is now the only metro whose preset tenure favors buying. Denver is second-fastest at year 11, but that is one year past its ten-year preset tenure, so renting still wins there.
Which city is worst for buying in 2026?
San Francisco's single-family market: a $2.2 million median house against a $5,950 comparable rent leaves a ten-year stay $645,969 behind renting, with breakeven in year 32. Austin is the worst at a normal price point, where a 2.0 percent property tax holds breakeven at year 24.
What moves a rent-vs-buy verdict the most?
In our series, three things in order: the comparable rent you choose (worth up to nine years of breakeven in New York), recurring carrying costs like property tax, insurance, and HOA dues (they decide Austin, Tampa, and Miami), and the appreciation scenario you assume (Seattle never crosses at flat prices).
Why do these breakevens differ from other rent-vs-buy advice?
Three corrections most coverage skips: we credit the renter's invested down payment with compound growth, we match the rent to the dwelling actually being bought, and we compute a new buyer's property tax from adopted millage instead of averages suppressed by long-tenured owners' assessment caps.
What is a net-worth breakeven?
The first year the buyer would walk away with at least as much wealth as the renter: home value net of selling costs and loan payoff on one side, the renter's invested upfront cash minus cumulative rent on the other. It is the strictest common definition, and every figure on this page uses it.

Sources

Written by

Sam Sage

Founder, FinExplained

Sam Sage is an individual investor with more than 20 years of hands-on experience, managing a long-term, buy-and-hold portfolio and running an options wheel strategy of cash-secured puts and covered calls. Sam Sage is not a licensed financial advisor; FinExplained is educational content, not personalized advice.

Everything in Housing & Mortgages