Rent vs buy in Hammond, IN
In Hammond, Indiana, the typical rent is $1,512 /mo and the typical home is $176,621.
Buying costs $37k less over 7 years
Using Hammond's typical rent and home value, the calculation applies 20% down and today's mortgage rate. The break-even point comes in year 3.
A clearly labeled opinion with the math shown. These figures are estimates, not quotes. The stamp updates whenever you change a number.
- How far owning is ahead
- $37k after 7 years
- Break-even point
- Year 3 when owning catches up
- Owning's true cost
- $1,597 /mo year 1, against $1,512 rent
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The stamp is based on Hammond's typical rent and home value. The result can flip depending on your rent, price and years.
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Enter your rent, price and down payment. Your entries change the stamp.
Does renting or buying cost less in Hammond?
If you count the money you receive when selling, buying costs $37,091 less than renting over 7 years. In year 3, owning's net cost falls below renting's and remains lower.
Rent. Own. Net cost by year so far.
How Hammond's average rent compares with its mortgage payment
At Hammond's typical price, these are all the monthly costs in year 1, including more than just rent and the mortgage.
| Each month, year 1 | Amount | What it is |
|---|---|---|
| Rent | $1,512 | All of it, every month |
| Mortgage payment | $963 | $849 of it is interest in year 1 |
| Property tax | $150 | 1.02% of the value a year |
| Insurance | $90 | Census median for the city |
| Upkeep | $147 | 1% of the value a year |
| Owning, cash out | $1,350 | $114 of it builds equity |
| Lost return on the down payment | $287 | The yearly return on cash at 8.3% |
| Buying costs, spread out | $74 | 3.5% of the price over 7 years |
| True cost of owning | $1,597 | Cash out minus the equity portion, plus the two costs above |
The figures behind Hammond's result
- Typical home valueZillow ZHVI, September 2026
- $176,621
- Typical rentZillow ZORI, September 2026
- $1,512 /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, Hammond
- 1.02% of value
- Home insuranceCensus ACS 2020-2024, Hammond
- $90 /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 would change the result in Hammond?
Each line shows when the 7-year result in Hammond changes, while all other figures stay the same.
When renting wins
- Home prices rise by less than 0.7% each year; our calculation uses 3.7%, Indiana's long-run rate.
- This condition applies when the mortgage rate stays above 10.93%.
- Monthly rent for a comparable home is less than $1,110. The local typical is $1,512.
- Moving before year 3.
When buying wins
- Home prices increase by more than 0.7% each year.
- You lock in a mortgage rate under 10.93%; today's rate is 7.24%.
- Monthly rent for that same home would exceed $1,110.
- You remain there for 3 years or more.
Hammond compared with the other 812 cities
| Measure | Hammond | Median city |
|---|---|---|
| Typical home value | $176,621 | $422,451 |
| Typical rent | $1,512 /mo | $1,837 /mo |
| Price-to-rent ratio | 9.7 (#792 of 813) | 18.5 |
| Home prices, last 10 years | 9.1% a year | 6.2% a year |
| Rents, last 5 years | 6% a year | 4% a year |
| Property tax | 1.02% | 0.87% |
| Households that rent | 38% | 42% |
Sources: Zillow ZHVI and ZORI, Census ACS 2020-2024.
Cities elsewhere in Indiana
- Toss-up. Indianapolis, IN. Renting leads by $2k, so it's a toss-up.
- Rent. Fort Wayne, IN. Renting leads by $20k.
- Rent. Evansville, IN. Renting leads by $17k.
- Rent. Fishers, IN. Renting leads by $70k.
- Buy. South Bend, IN. Buying leads by $4k.
- Rent. Carmel, IN. Renting leads by $143k.
- Rent. Bloomington, IN. Renting leads by $9k.
- Rent. Noblesville, IN. Renting leads by $62k.
- Rent. Lafayette, IN. Renting leads by $24k.
- Rent. Greenwood, IN. Renting leads by $33k.
- Buy. Gary, IN. Buying leads by $72k.
- Buy. Muncie, IN. Buying leads by $8k.