Rent vs buy in Methuen, MA
Methuen, Massachusetts has a typical rent of $2,352 /mo and a typical home price of $618,588.
Renting comes out $58k ahead over 7 years
Today's mortgage rate and a 20% down payment apply when using Methuen's typical rent and home value. The break-even point arrives in year 14.
Clearly labeled opinion with the math shown. These are estimates, not quotes. Adjust any number, and the stamp will change.
- Renting is ahead by
- $58k after 7 years
- Break-even point
- year 14 when owning catches up
- Actual cost of ownership
- $5,385 /mo year 1, against $2,352 rent
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Would renting or buying cost less in Methuen?
Over 7 years, renting costs $57,841 less, including the money you receive when you sell. For the first 13 years, renting costs less. Owning catches up during year 14.
Renting. Owning. Net cost by year so far.
Average rent compared with mortgage payment in Methuen
Rent and mortgage payments don't tell the whole story. At Methuen's typical price, these are all monthly costs in year 1.
| Each month, year 1 | Amount | What it is |
|---|---|---|
| Rent | $2,352 | All of it, every month |
| Mortgage payment | $3,373 | $2,973 of it is interest in year 1 |
| Property tax | $521 | 1.01% of the value a year |
| Insurance | $113 | Census median for the city |
| Upkeep | $515 | 1% of the value a year |
| Owning, cash out | $4,522 | $400 of it builds equity |
| Lost return on the down payment | $1,005 | What the cash would earn each year at 8.3% |
| Buying costs, spread out | $258 | 3.5% of the price over 7 years |
| True cost of owning | $5,385 | Cash out, minus the equity portion, plus the two amounts listed above |
The numbers behind Methuen's verdict
- Typical home valueZillow ZHVI, September 2026
- $618,588
- Typical rentZillow ZORI, September 2026
- $2,352 /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, Massachusetts, 1995 to 2025
- 5.1% 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, Methuen
- 1.01% of value
- Home insuranceCensus ACS 2020-2024, Methuen
- $113 /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 reverse the result in Methuen?
Each line marks where Methuen's 7-year verdict changes, while all other factors remain the same.
Renting comes out ahead when
- With annual home prices growing slower than 6.2%, our calculation uses 5.1%, Massachusetts's long-run rate.
- This condition applies when the mortgage rate remains above 5.58%.
- A similar home rents for less than $2,970 monthly (the typical rate here is $2,352).
- Before year 14, you move.
Buying takes the lead when
- Annual home price growth runs faster than 6.2%.
- You secure a mortgage rate under 5.58% (today's is 7.24%).
- The same home would cost more than $2,970 monthly to rent.
- You stay for 14 years or more.
How Methuen compares with the other 812 cities
| Measure | Methuen | Median city |
|---|---|---|
| Typical home value | $618,588 | $422,451 |
| Typical rent | $2,352 /mo | $1,837 /mo |
| Price-to-rent ratio | 21.9 (#248 of 813) | 18.5 |
| Home prices, last 10 years | 7% a year | 6.2% a year |
| Property tax | 1.01% | 0.87% |
| Households that rent | 28% | 42% |
Sources: Zillow ZHVI and ZORI, Census ACS 2020-2024.
More cities across Massachusetts
- Renting wins by $10k in Boston, MA.
- Renting wins by $8k in Worcester, MA.
- Buying wins by $18k in Springfield, MA.
- Renting wins by $83k in Cambridge, MA.
- Renting wins by $9k in Lowell, MA.
- Renting wins by $19k in Brockton, MA.
- Renting wins by $45k in Lynn, MA.
- Renting wins by $51k in Quincy, MA.
- Renting wins by $40k in New Bedford, MA.
- Renting wins by $29k in Fall River, MA.
- Renting wins by $317k in Newton, MA.
- Toss-up in Lawrence, MA: renting is ahead by $2k.