Rent vs buy in Portland, ME
In Portland, Maine, typical rent is $2,399 /mo and typical home is $554,454.
Over 7 years, renting wins by $25k
Today's mortgage rate and 20% down are paired with Portland's typical rent and typical home value. Year 10 marks the break-even point.
Estimates, not quotes. An opinion, clearly labelled, with the math shown. The stamp changes when you change a number.
- Renting leads by
- $25k after 7 years
- When it breaks even
- Year 10 when owning catches up
- What owning really costs
- Per month: $4,873 year 1, against $2,399 rent
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The stamp's inputs are Portland's typical rent and the typical home value. Your rent, price and years can flip the result.
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Which costs less in Portland, renting or buying?
After you sell and count what you get back, renting costs $24,828 less over 7 years. For the first 9 years, renting costs less. Year 10 is where owning catches up with renting.
Renting. Owning. Net cost to date, by year.
Average rent against mortgage payment in Portland
Rent and the mortgage payment don't tell the whole story. At Portland's typical price, the list shows every monthly cost for year 1.
| Each month, year 1 | Amount | What it is |
|---|---|---|
| Rent | $2,399 | All of it, every month |
| Mortgage payment | $3,023 | $2,664 of it is interest in year 1 |
| Property tax | $527 | 1.14% of the value a year |
| Insurance | $88 | Census median for the city |
| Upkeep | $462 | 1% of the value a year |
| Owning, cash out | $4,100 | $358 of it builds equity |
| Lost return on the down payment | $901 | What the cash would earn each year at 8.3% |
| Buying costs, spread out | $231 | 3.5% of the price over 7 years |
| True cost of owning | $4,873 | Take cash out, subtract the equity part, then add the two lines above. |
Portland verdict, by the numbers
- Home value, typicalZillow ZHVI, September 2026
- $554,454
- Rent, typicalZillow ZORI, September 2026
- Per month: $2,399
- Down payment: 20% avoids private mortgage insurance, and the engine does not model it
- 20%
- Rate source: Freddie Mac Primary Mortgage Market Survey (FRED MORTGAGE30US)
- 7.24%
- Growth in home pricesFHFA house price index, Maine, 1995 to 2025
- Yearly: 5.2%
- Growth in rentsCPI primary residence rent, yearly growth 2006 to 2026
- 3.5% yearly
- What savings earn: 60% S&P 500 with dividends, 40% 10-year Treasuries, rebalanced yearly from 1928 to 2025
- 8.3% yearly
- Property tax data: Census ACS 2020-2024, Portland
- At 1.14% of value
- Home insurance data: Census ACS 2020-2024, Portland
- $88 a month
- Maintenance costs: Fannie Mae, low end of 1% to 4%
- Each year, 1% of value.
- Buying costs data: Freddie Mac, middle of 2% to 5%
- At 3.5% of price
- Selling costsAgent commission and closing costs
- 6% of the price
What would flip the result in Portland?
Every line below shows the point where the 7-year verdict for Portland turns around, with all other inputs left as they are.
Renting comes out ahead when
- Home prices grow by less than 5.7% a year, and we apply 5.2%, Maine's rate over the long run.
- Above 6.45%, that's where the mortgage rate stays.
- Monthly rent under $2,660 for a similar home (typical here: $2,399).
- Moving before year 10.
Buying comes out ahead when
- Home prices grow at more than 5.7% a year.
- The locked mortgage rate comes in under 6.45% (today's is 7.24%).
- That home's monthly rent would cost you over $2,660.
- You remain 10 years or longer.
Portland compared with the other 812 cities
| Measure | Portland | Median city |
|---|---|---|
| Typical home value | $554,454 | $422,451 |
| Typical rent | $2,399 /mo | $1,837 /mo |
| Price-to-rent ratio | 19.3 (#370 of 813) | 18.5 |
| Home prices, last 10 years | 7.3% a year | 6.2% a year |
| Rents, last 5 years | 4.4% a year | 4% a year |
| Property tax | 1.14% | 0.87% |
| Households that rent | 53% | 42% |
Data from: Zillow ZHVI and ZORI, Census ACS 2020-2024.