Rent vs buy in Idaho
At today's numbers over 7 years, renting comes out ahead in 7 of its cities of 50,000+, and 1 of the 8 is a toss-up.
Rent vs buy in Idaho's cities
| City | Verdict | 7-year result | Break-even (up to 30 yrs) | Typical home | Rent /mo |
|---|
Sources: Zillow Home Value and Observed Rent indexes; verdicts come from our rent vs buy method with 20% down across 7 years.
The take on Idaho
With home prices this steep in Idaho, renting saves you money in 7 of the state's 8 biggest cities over 7 years. Home prices climbed 10.0% a year in the past 10 years, and that pushed the typical home value to $477k. The median rent is $1,238 a month, compared with $1,413 a month nationally. Buying in Boise City costs $500,215, while renting costs $1,900. Over 7 years, renting comes out ahead by $25k, while buying doesn't break even for you until year 10. In Coeur d'Alene, renting wins by $61k on a $606,227 home that rents for $1,865, and buying breaks even in year 14.
When rent falls as well, the math for you stays the same in cheaper cities. The typical home in Pocatello costs $339,631, and rent runs $1,049. You don't break even until year 17, and renting comes out ahead by $44k. Statewide, we see only 1 toss-up. A $399,646 home in Caldwell rents for $1,736, so the two choices sit $3k apart, with buying breaking even in year 7.
Buy a home and stay in it, and low ongoing costs help you catch up. Property tax comes to 0.49% for you, about half the 0.94% US rate. Homeowners insurance averages $971 a year, compared with $1,308 a year nationally. Prices grow 5.2% a year over time, and we see only 28% of households rent, versus a national 35%.
Our take is simple: rent in Idaho unless you stay in Caldwell past year 7 or in Boise City past year 10. If you stay longer, you'll find low taxes and insurance working in your favor.