Rent vs buy in Oklahoma
Across the 10 cities of 50,000+, renting wins in 5 and buying in 4, while 1 comes out a toss-up, using today's numbers over 7 years.
Renting or buying in Oklahoma's cities
| City | Verdict | 7-year result | Break-even (up to 30 yrs) | Typical home | Rent /mo |
|---|---|---|---|---|---|
| Oklahoma City | Toss-up | toss-up, renting ahead by $3k | year 8 | $204,979 | $1,285 |
| Tulsa | Rent | renting wins by $7k | year 9 | $217,760 | $1,273 |
| Norman | Rent | renting wins by $20k | year 13 | $260,448 | $1,407 |
| Moore | Buy | buying wins by $8k | year 6 | $219,711 | $1,481 |
| Enid | Buy | buying wins by $22k | year 4 | $135,534 | $1,122 |
| Stillwater | Rent | renting wins by $27k | year 15 | $267,261 | $1,358 |
Sources: Zillow Home Value and Observed Rent indexes; the verdicts come from our rent vs buy method, which runs at 20% down over 7 years.
The take for Oklahoma
Over 7 years, Oklahoma's 10 biggest cities come out nearly even. Buying wins in 4, renting in 5, and 1 comes out nearly even. A $204,979 home in Oklahoma City against $1,285 rent leaves you $3k apart, and you break even in year 8. In cheaper towns, you win faster. Buying in Enid puts you $22k ahead: a $135,534 home against $1,122 rent, with payback in year 4.
In pricier cities, the math works the other way. In Tulsa, renting leaves you $7k ahead until year 9: the home price is $217,760 and rent runs $1,273 a month. In Edmond, expect to pay $354,038 for a home while rent sits at $1,642. Renting saves you $49k there, and you won't break even until year 22. Renting also comes out ahead, by $20k in Norman and by $27k in Stillwater.
Across the state, costs tug your budget in 2 directions. A typical home costs $221k, rising 4% a year over the long term and 5.8% a year for the past 10 years. Your property tax comes to 0.80%, while the US rate is 0.94%. However, homeowners insurance runs $1,916 a year for you, against $1,308 nationally, which slows your payback. Roughly 34% of households rent, close to the 35% US share, and median rent is $1,014 a month against $1,413 nationally.
Our take: in Oklahoma, the local price gap is the guide we suggest you follow. Rent in pricier suburbs, but buy in a cheaper city when you'll stay 4 years.