Houston, TX

Rent vs buy in Houston

Median home $275,200. A 1 bedrooms rents for $1,199 a month. Ownership is modelled at 20% down, 6.5% APR, property tax and upkeep.

Rent · 1 bedrooms: $1,199; per month
Own the median home: $2,045; P&I, tax, insurance, upkeep
Owning costs extra: $846; per month, same metro

What a purchase actually costs

20% down payment$55,040
Mortgage at 6.5%$1,392
Property tax (1.75% of value)$401/mo · $4,816/yr
Insurance and upkeep (1.1%/yr)$252
Total monthly ownership$2,045

Census ACS 2023: 49.3% of renter households in this metro put 30% or more of income toward rent.

Months of leftover to save the down payment

At $3,159 left over a month, it takes about 18 months (1.5 years) to save $55,040 if every leftover dollar goes to the down payment — which it won't.

Rent is asking rent for a new lease. Home value is the Census ACS median. The mortgage is a 30-year fixed at 6.5% with 20% down — a yardstick, not a quote. Not housing or lending advice.