Rent vs buy in Midland, TX
In Midland, Texas, a typical home is $328,375 and typical rent is $1,565 /mo.
Over 7 years, renting wins by $27k
The math uses Midland's typical rent, its home value, a 20% down payment and today's mortgage rate. Break-even point: year 13.
An opinion, labelled clearly, with the math shown. These are estimates, not quotes. Adjust any number and the stamp updates.
- Ahead by renting
- $27k after 7 years
- The break-even point
- year 13 when owning catches up
- What owning really costs
- $3,025 /mo year 1, against $1,565 rent
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Is it cheaper to rent or buy in Midland?
Count the money that comes back to you when you sell, and renting costs $26,897 less over 7 years. For the first 12 years, renting costs less. By year 13, owning catches up.
Renting. Owning. Net cost by year, so far.
Average rent and mortgage payment in Midland, side by side
Rent and the mortgage payment don't tell the whole story. Here are all of the monthly costs for year 1. The price used is Midland's typical price.
| Each month, year 1 | Amount | What it is |
|---|---|---|
| Rent | $1,565 | All of it, every month |
| Mortgage payment | $1,790 | $1,578 of it is interest in year 1 |
| Property tax | $348 | 1.27% of the value a year |
| Insurance | $155 | Census median for the city |
| Upkeep | $274 | 1% of the value a year |
| Owning, cash out | $2,566 | $212 of it builds equity |
| Lost return on the down payment | $534 | The yearly return on cash, 8.3% |
| Buying costs, spread out | $137 | 3.5% of the price over 7 years |
| True cost of owning | $3,025 | Cash out, minus equity, plus the two rows above |
Midland's verdict, by the numbers
- Typical home value: Zillow, ZHVI, September 2026
- $328,375
- Typical rent: Zillow, ZORI, September 2026
- $1,565 /mo
- Down payment: a 20% amount avoids private mortgage insurance, and the engine doesn't model that insurance.
- 20%
- Mortgage rate, from the Freddie Mac Primary Mortgage Market Survey (FRED MORTGAGE30US)
- 7.24%
- Growth in home prices: FHFA index of home prices, Texas, 1995 to 2025
- 4.7% each year
- Rent growth: CPI rent of primary residence, growth each year 2006 to 2026
- Yearly: 3.5%
- Savings return60% S&P 500 with dividends, plus 40% 10-year Treasuries, rebalanced yearly from 1928 to 2025
- 8.3% each year
- Property tax: Census ACS 2020-2024, Midland
- 1.27% of the value
- Home insurance: Census ACS 2020-2024, Midland
- $155 a month
- UpkeepFannie Mae, low end of the 1% to 4% range
- 1% of the value yearly
- Cost of buyingFreddie Mac, 2% to 5%, midrange
- 3.5% of the price
- Selling costs: Agent commission plus closing costs
- 6% of the price
What would change the result in Midland?
Every line marks the value at which the 7-year verdict for Midland switches, and all other numbers stay put.
When renting wins
- Home price growth stays under 5.7% a year, using Texas's long-run rate of 4.7%.
- The rate on your mortgage remains above 5.78%.
- Renting this kind of home costs under $1,850 each month; the typical rent here is $1,565.
- You move before year 13 arrives.
Buying comes out ahead when
- Home values rise faster than 5.7% a year.
- You fix a mortgage rate under 5.78% (today's rate is 7.24%).
- That same home would cost over $1,850 a month to rent.
- You stay for 13 years or longer.
Midland compared with the other 812 cities
| Measure | Midland | Median city |
|---|---|---|
| Typical home value | $328,375 | $422,451 |
| Typical rent | $1,565 /mo | $1,837 /mo |
| Price-to-rent ratio | 17.5 (#467 of 813) | 18.5 |
| Home prices, last 10 years | 4.2% a year | 6.2% a year |
| Rents, last 5 years | 5.8% a year | 4% a year |
| Property tax | 1.27% | 0.87% |
| Households that rent | 35% | 42% |
Data from: Zillow ZHVI, ZORI, Census ACS 2020-2024.
More cities in Texas
- Toss-up. Houston, TX. It's close, though renting leads by $2k.
- Rent. San Antonio, TX. Renting is $10k ahead of buying.
- Rent. Dallas, TX. Renting is $20k ahead of buying.
- Rent. Fort Worth, TX. Renting is $17k ahead of buying.
- Rent. Austin, TX. Renting is $111k ahead of buying.
- Rent. Arlington, TX. Renting is $34k ahead of buying.