Let’s face it: 2025 isn’t “normal” in the housing world. Mortgage rates remain elevated (over 6 %) and median home prices continue to sit near record highs. Mortgage Professional+6Empower+6Realtor+6
That means the decision to rent or buy requires more than “owning is always better.”
Here’s a deep dive into the numbers, plus key questions you should ask — and how you can proceed confidently when you’re ready.
The Data Snapshot: What the Numbers Say
- In June 2025, the average monthly cost of buying a starter home in the top 50 U.S. metros was $908 (53.1 %) higher than renting in the same markets. Realtor+1
- In all 50 of the largest U.S. metro areas, renting now costs less than owning (including mortgage, taxes and insurance) in 2025. Bankrate+1
- One analysis noted that in a “typical” metro with a $435,300 median home and 6.58 % rate, the monthly mortgage payment of ~$2,219 nearly matches the national average rent of ~$2,100. That means only in about 18 of the 50 metros did buying actually cost less than renting. Empower
- Surveys reveal that only about 33.9 % of renters believe they will own a home someday — down sharply from 52.6 % in 2019. Around 42.9 % say obtaining a mortgage is “very difficult.” Federal Reserve Bank of St. Louis
What this tells us:
Buying isn’t off the table — but it no longer carries the automatic financial edge it once did. Renting may be the wiser choice in many cases, particularly if you plan to stay short-term, don’t have a substantial down payment, or want flexibility.
The Case for Buying
- Equity & ownership: Every mortgage payment builds some ownership — unlike rent payments.
- Stability & predictability: Fixed-rate mortgage locks in principal and interest; rent can rise.
- Tax advantages & long-term wealth: Opportunity for appreciation, tax-deductions, and eventual property value growth (if the market cooperates).
- Sense of home: Many people value the emotional benefits of owning a place to call their own.
The Case for Renting
- Flexibility: Easier to move for work or lifestyle changes; less tied down.
- Lower upfront costs: No down payment, fewer closing costs, landlord handles major maintenance.
- Reduced risk: If you plan to move soon (3-5 years), you may not recoup upfront costs of buying.
- In 2025 many markets: Monthly cost of owning is higher than renting, making renting a rational choice backed by data. Investopedia+1
When Renting Makes More Sense — vs When Buying Wins
| Best for Renting | Best for Buying |
| You plan to move within 3-5 years | You plan to stay 7-10 years or more |
| You don’t have a large down payment or reserve | You have savings, good credit, and stable income |
| You want flexibility to relocate or change homes | You’re ready to build equity and settle into a community |
| Monthly cost of buying is higher than renting in your area | Monthly cost of buying is similar or lower — and you value ownership |
Are You Ready to Buy? (Checklist)
Before you leap into ownership, check:
- Do you have a down payment (ideally 10-20 %) + closing costs?
- Is your credit score strong enough (typically ≥ 620–680 depending on loan type)?
- Do you anticipate staying in the home at least 5-7 years?
- Is your emergency fund large enough to handle homeownership costs (maintenance, taxes)?
- Are you comfortable with less mobility and being responsible for major repairs?
If you answered “no” to several items — renting may be the smarter interim move while you prepare for buying later.
How a Referral Agent Can Help You Make the Right Choice
Even if you’re still deciding between rent and buy, connecting with a trusted local REALTOR® through a referral network can help you get clarity. A referral agent, like myself, can:
- Explain current local market dynamics and affordability in your target area
- Introduce you to a REALTOR® who specializes in buyers or first-timers
- Compare rent vs buy scenarios specific to your timeline and budget
- Prepare you for when you’re ready to move ahead
And when you are ready to buy, you’re already matched with a top-performing local agent — no cold calls, no guesswork.
One-Month Trial Match:
When you’re introduced to your matched REALTOR®, you’ll begin with a one-month trial agreement. This gives you and your agent time to work together, make sure the partnership feels like a great fit, and ensures you’re supported by someone who communicates well and understands your goals — before committing long-term.
How Referral Fees Work
There’s no upfront cost to you. If you decide to work with the agent we match you with and your home purchase successfully closes, a small portion of the agent’s commission is paid to your referral agent.
This ensures you get service and guidance without paying anything at the start — simply when your agent succeeds.
Ready to Get Matched?
If you’re thinking about buying — or want expert input on rent vs buy in your market — take our short quiz to get matched with a trusted local REALTOR®. We’ll connect you within 1-2 business days and help you start with confidence.
About the Author:
Chelsea Vanderpool is a Licensed Referral Agent and Property Manager with Weichert REALTORS®, Mark Thomas Properties. She helps aspiring homebuyers, sellers, and investors across the U.S. connect with vetted local agents and make informed decisions.
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