Rent vs buy in Gary, IN
In Gary, Indiana, the typical rent is $1,367 /mo, and a typical home costs $87,485.
Over 7 years, buying comes out ahead by $72k
Using Gary's typical figures for rent and home value, plus a 20% down payment and today's mortgage rate. Your break-even point is year 1.
Our clearly labeled opinion shows the math. These are estimates, not quotes. Change any number, and the stamp changes with it.
- Owning leads by
- $72k after 7 years
- Break-even point
- Year 1 when owning catches up
- Actual cost of ownership
- $842 /mo year 1, against $1,367 rent
Change my numbers
The stamp relies on Gary's typical rent and home value. The result can reverse based on your rent, price, and number of years.
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Enter your rent, price and down payment. The stamp updates with your entries.
Is renting or buying cheaper in Gary?
Buying costs $71,842 less over 7 years, including the money you receive when you sell. In year 1, owning's net cost falls below renting's and remains lower.
Rent. Own. Net cost by year so far.
Average rent compared with mortgage payments in Gary
Rent and mortgage payments don't tell the whole story. Here's every monthly cost for year 1, based on Gary's typical price.
| Each month, year 1 | Amount | What it is |
|---|---|---|
| Rent | $1,367 | All of it, every month |
| Mortgage payment | $477 | $420 of it is interest in year 1 |
| Property tax | $71 | 0.97% of the value a year |
| Insurance | $99 | Census median for the city |
| Upkeep | $73 | 1% of the value a year |
| Owning, cash out | $720 | $57 of it builds equity |
| Lost return on the down payment | $142 | The annual return on the cash at 8.3% |
| Buying costs, spread out | $36 | 3.5% of the price over 7 years |
| True cost of owning | $842 | Cash out, minus the equity portion, plus the two lines above |
The figures behind Gary's result
- Typical home valueZillow ZHVI, September 2026
- $87,485
- Typical rentZillow ZORI, September 2026
- $1,367 /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, Indiana, 1995 to 2025
- 3.7% 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, Gary
- 0.97% of value
- Home insuranceCensus ACS 2020-2024, Gary
- $99 /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 could turn the Gary result around?
Each line identifies the point where Gary's 7-year verdict changes, while everything else stays as it is.
Renting is better when
- A similar home rents for less than $600 a month (the typical rent here is $1,367).
- You make your move before year 1.
Buying comes out ahead when
- Renting that same home would cost more than $600 a month.
- You stay for 1 year or longer.
How Gary compares with the other 812 cities
| Measure | Gary | Median city |
|---|---|---|
| Typical home value | $87,485 | $422,451 |
| Typical rent | $1,367 /mo | $1,837 /mo |
| Price-to-rent ratio | 5.3 (#812 of 813) | 18.5 |
| Home prices, last 10 years | 9.6% a year | 6.2% a year |
| Property tax | 0.97% | 0.87% |
| Households that rent | 51% | 42% |
Sources: Zillow ZHVI and ZORI, Census ACS 2020-2024.
Other Indiana cities
- Toss-up. Indianapolis, IN. A toss-up, with renting $2k ahead.
- Renting wins. Fort Wayne, IN. The gap is $20k in renting's favor.
- Rent. Evansville, IN. Renting is cheaper by $17k.
- Rent. Fishers, IN. Renting is cheaper by $70k.
- Buy. South Bend, IN. Buying is cheaper by $4k.
- Rent. Carmel, IN. Renting is cheaper by $143k.
- Rent. Bloomington, IN. Renting is cheaper by $9k.
- Buy. Hammond, IN. Buying is cheaper by $37k.
- Rent. Noblesville, IN. Renting is cheaper by $62k.
- Rent. Lafayette, IN. Renting is cheaper by $24k.
- Rent. Greenwood, IN. Renting is cheaper by $33k.
- Buy. Muncie, IN. Buying is cheaper by $8k.