Rent vs buy in Decatur, IL
In Decatur, Illinois, the typical rent is $1,057 /mo and the typical home costs $104,647.
Over 7 years, buying comes out ahead by $20k.
Using Decatur's typical rent and home value, plus 20% down and today's mortgage rate. The break-even point arrives in year 3.
A clearly labeled opinion with the math shown. Estimates, not quotes. If you change a number, the stamp changes.
- Advantage of owning
- $20k after 7 years
- Break-even point
- In year 3 when owning catches up
- Actual cost of owning
- $1,094 a month year 1, against $1,057 rent
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Which costs less in Decatur, renting or buying?
Across 7 years, buying costs $20,392 less when you include the money returned after you sell. During year 3, owning's net cost falls below renting's and remains lower.
Rent option. Owning option. Net cost to date, by year.
Mortgage payment vs average rent in Decatur
Rent and mortgage payments don't tell the whole story. Here are all monthly costs for year 1 at Decatur's typical price.
| Each month, year 1 | Amount | What it is |
|---|---|---|
| Rent | $1,057 | All of it, every month |
| Mortgage payment | $571 | $503 of it is interest in year 1 |
| Property tax | $200 | 2.29% of the value a year |
| Insurance | $91 | Census median for the city |
| Upkeep | $87 | 1% of the value a year |
| Owning, cash out | $948 | $68 of it builds equity |
| Lost return on the down payment | $170 | Cash earnings at 8.3% a year |
| Buying costs, spread out | $44 | 3.5% of the price over 7 years |
| True cost of owning | $1,094 | Cash paid out, minus the equity share, plus the two items listed above |
Numbers behind the Decatur verdict
- Typical home valueZillow ZHVI, September 2026
- $104,647
- Typical rentZillow ZORI, September 2026
- $1,057 /mo
- Down payment20% avoids private mortgage insurance, which the engine does not model
- 20%
- Mortgage rateFreddie Mac Primary Mortgage Market Survey (FRED MORTGAGE30US)
- 7.24%
- Home price growthFHFA house price index, Illinois, 1995 to 2025
- 3.3% a year
- Rent growthCPI rent of primary residence, yearly growth 2006 to 2026
- 3.5% a year
- Return on savings60% S&P 500 with dividends and 40% 10-year Treasuries, rebalanced yearly, 1928 to 2025
- 8.3% a year
- Property taxCensus ACS 2020-2024, Decatur
- 2.29% of value
- Home insuranceCensus ACS 2020-2024, Decatur
- $91 /mo
- MaintenanceFannie Mae, low end of 1% to 4%
- 1% of value a year
- Buying costsFreddie Mac, middle of 2% to 5%
- 3.5% of price
- Selling costsAgent commission plus closing costs
- 6% of price
What change would reverse the Decatur result?
Each line marks the point where the 7-year verdict for Decatur changes, while all other factors stay the same.
When renting costs less
- Home prices grow by less than 0.4% each year. Our calculation uses 3.3%, Illinois's long-run rate.
- A mortgage rate above 10.66% remains in place.
- Monthly rent for a home like this comes to under $840 (typical here: $1,057).
- You move before you reach year 3.
When buying costs less
- Home prices rise faster than 0.4% each year.
- You secure a mortgage rate of less than 10.66% (today's is 7.24%).
- You would pay over $840 each month to rent that same home.
- You remain there for 3 years or longer.
Decatur compared with the other 812 cities
| Measure | Decatur | Median city |
|---|---|---|
| Typical home value | $104,647 | $422,451 |
| Typical rent | $1,057 /mo | $1,837 /mo |
| Price-to-rent ratio | 8.3 (#806 of 813) | 18.5 |
| Home prices, last 10 years | 4.4% a year | 6.2% a year |
| Property tax | 2.29% | 0.87% |
| Households that rent | 37% | 42% |
Sources: Zillow ZHVI and ZORI, Census ACS 2020-2024.
Other Illinois cities
- Too close to call. Chicago IL. Buying leads by $3k.
- Renting wins. Aurora IL. The difference totals $12k.
- Renting wins. Naperville IL. The difference totals $198k.
- Renting wins. Joliet IL. The difference totals $30k.
- Renting wins. Rockford IL. The difference totals $22k.
- Renting wins. Elgin IL. The difference totals $58k.
- Renting wins. Springfield IL. The difference totals $13k.
- Buying wins. Peoria IL. The difference totals $15k.
- Renting wins. Champaign IL. The difference totals $29k.
- Renting wins. Waukegan IL. The difference totals $24k.
- Renting wins. Cicero IL. The difference totals $71k.
- Renting wins. Bloomington IL. The difference totals $68k.