Seven U.S. metros where renters save over $1,000 versus homeowners
A recent Apartments.com analysis identified seven metropolitan areas where the average rent is more than $1,000 lower than the median monthly mortgage, with Austin and Sacramento topping the list.
Apartments.com released a report finding seven U.S. metros where renters enjoy a monthly advantage of over $1,000 compared with median mortgage payments. Austin, Texas, leads with a $2,475 median mortgage versus $1,421 average rent, while Sacramento, California, shows a $2,621 mortgage against $1,579 rent. The other cities—Denver, Portland, Baltimore, Salt Lake City and Orlando—also exhibit sizable rent-mortgage gaps.
Austin real-estate agent Dillar Schwartz said the market is bustling, with rising rental inquiries and a growing pool of first-time homebuyers, though high insurance, taxes and rates inflate entry costs. He explained that securing a $2,000-per-month apartment typically requires about $5,000 in cash for deposits and fees. Schwartz also mentioned recent city measures, such as a new permitting role, aimed at speeding home-building and encouraging infill development. Overall, the data suggest renters currently have a financial edge in these regions, but both renters and buyers must navigate sizable upfront expenses.
Why it matters
Renters can save over $1,000 monthly in these cities, influencing housing decisions and financial planning.
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