Rent vs buy in Livonia, MI
In Livonia, Michigan, the typical rent is $1,699 /mo and the typical home price is $312,136.
Over 7 years, renting comes out $26k ahead.
Using 20% down and today's mortgage rate, the comparison relies on Livonia's typical rent and home value. You reach the break-even point in year 14.
A clearly labelled opinion with the math shown. Estimates, not quotes. The stamp changes whenever a number changes.
- Rent comes out ahead by
- $26k after 7 years
- Break-even point
- That point comes in year 14. when owning catches up
- Owning's true cost
- $2,843 each month year 1, against $1,699 rent
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The stamp draws on Livonia's typical rent, plus the typical home value. Your rent, price and time period may change the result.
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In Livonia, is renting or buying cheaper?
Over 7 years, renting costs $25,572 less, including the money returned when you sell. For the first 13 years, renting costs less. In year 14, owning catches up.
Renting. Owning. Net cost by year so far.
Average rent compared with mortgage payment in Livonia
Rent and mortgage payments don't cover every monthly charge. At Livonia's typical price, here are all monthly costs for year 1.
| Each month, year 1 | Amount | What it is |
|---|---|---|
| Rent | $1,699 | All of it, every month |
| Mortgage payment | $1,702 | $1,500 of it is interest in year 1 |
| Property tax | $356 | 1.37% of the value a year |
| Insurance | $89 | Census median for the city |
| Upkeep | $260 | 1% of the value a year |
| Owning, cash out | $2,407 | $202 of it builds equity |
| Lost return on the down payment | $507 | What that cash would earn each year at 8.3% |
| Buying costs, spread out | $130 | 3.5% of the price over 7 years |
| True cost of owning | $2,843 | Cash out, minus the equity portion, plus the two lines above |
The figures behind Livonia's verdict
- Typical home valueZillow ZHVI, September 2026
- $312,136
- Typical rentZillow ZORI, September 2026
- $1,699 /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, Michigan, 1995 to 2025
- 3.8% 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, Livonia
- 1.37% of value
- Home insuranceCensus ACS 2020-2024, Livonia
- $89 /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 flip the result in Livonia?
Each line shows where Livonia's 7-year verdict changes, with all other factors staying the same.
Renting wins under these conditions
- Home prices grow by less than 4.8% each year, while our 3.8% figure reflects Michigan's long-run rate.
- A mortgage rate above 5.78% remains in place.
- A home like this rents for under $1,970 a month. The typical rent here is $1,699.
- Your move occurs before year 14.
Buying wins under these conditions
- Home prices grow by more than 4.8% each year.
- You lock your mortgage rate under 5.78% (today's is 7.24%).
- Monthly rent for the same home would exceed $1,970.
- You remain there for 14 years or more.
How Livonia compares with the other 812 cities
| Measure | Livonia | Median city |
|---|---|---|
| Typical home value | $312,136 | $422,451 |
| Typical rent | $1,699 /mo | $1,837 /mo |
| Price-to-rent ratio | 15.3 (#609 of 813) | 18.5 |
| Home prices, last 10 years | 5.9% a year | 6.2% a year |
| Property tax | 1.37% | 0.87% |
| Households that rent | 13% | 42% |
Sources: Zillow ZHVI and ZORI, Census ACS 2020-2024.
More cities in Michigan
- Renting wins by $32k in Sterling Heights, MI.
- Renting wins by $7k in Westland, MI.