Rent vs buy in Provo, UT
In Provo, Utah, typical rent is $1,575 /mo and typical home is $478,876.
Over 7 years, renting comes out $47k ahead.
Using Provo's typical rent, typical home value, 20% down and today's mortgage rate. The break-even year is 14.
An opinion, clearly labelled, with the math shown. These are estimates, not quotes. Adjust any number and the stamp changes with it.
- Renting leads by
- $47k after 7 years
- Break-even point
- year 14 when owning catches up
- Owning's true cost
- $3,951 /mo year 1, against $1,575 rent
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Is it cheaper to rent or buy in Provo?
Over 7 years, renting costs $46,505 less, including the money you get back when you sell. For the first 13 years, renting costs less. By year 14, owning catches up.
Renting. Home ownership. Year-by-year net cost so far.
Rent compared with mortgage payment, on average, in Provo
Rent and mortgage payments don't tell the whole story. At Provo's typical price, these are all monthly costs in year 1.
| Each month, year 1 | Amount | What it is |
|---|---|---|
| Rent | $1,575 | All of it, every month |
| Mortgage payment | $2,611 | $2,301 of it is interest in year 1 |
| Property tax | $196 | 0.49% of the value a year |
| Insurance | $77 | Census median for the city |
| Upkeep | $399 | 1% of the value a year |
| Owning, cash out | $3,282 | $310 of it builds equity |
| Lost return on the down payment | $778 | At 8.3% a year, what the cash would earn |
| Buying costs, spread out | $200 | 3.5% of the price over 7 years |
| True cost of owning | $3,951 | Cash out, then subtract the equity part and add both lines listed above |
Numbers behind the Provo verdict
- Typical home valueZillow ZHVI, September 2026
- $478,876
- Typical rentZillow ZORI, September 2026
- $1,575 /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, Utah, 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, Provo
- 0.49% of value
- Home insuranceCensus ACS 2020-2024, Provo
- $77 /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 change the Provo result?
Every line shows where Provo's 7-year verdict changes, while everything else stays as it is.
Renting wins in these cases
- If home prices rise by less than 6.2% a year, that's the condition. The calculation uses 5.1%, Utah's long-run rate.
- A mortgage rate above 5.51% remains in place.
- For a similar home, monthly rent is below $2,070. The typical rent here is $1,575.
- Your move comes before year 14.
Buying wins in these cases
- Home prices increase at a yearly rate over 6.2%.
- You secure a mortgage rate under 5.51% (currently 7.24%).
- For the same home, your rent would cost more than $2,070 a month.
- You remain for 14 years or more.
How Provo compares with the other 812 cities
| Measure | Provo | Median city |
|---|---|---|
| Typical home value | $478,876 | $422,451 |
| Typical rent | $1,575 /mo | $1,837 /mo |
| Price-to-rent ratio | 25.3 (#139 of 813) | 18.5 |
| Home prices, last 10 years | 7.1% a year | 6.2% a year |
| Rents, last 5 years | 5% a year | 4% a year |
| Property tax | 0.49% | 0.87% |
| Households that rent | 61% | 42% |
Sources: Zillow ZHVI and ZORI, Census ACS 2020-2024.
More cities in Utah
- Salt Lake City, UT. Renting wins there by $83k.
- West Valley City, UT. Renting wins there by $39k.
- West Jordan, UT. Renting wins there by $65k.
- St. George, UT. Renting wins there by $37k.
- Orem, UT. Renting wins there by $57k.
- Lehi, UT. Renting wins there by $22k.
- Sandy, UT. Renting wins there by $104k.
- Ogden, UT. Renting wins there by $41k.
- South Jordan, UT. Renting wins there by $67k.
- Layton, UT. Renting wins there by $58k.
- Millcreek, UT. Renting wins there by $116k.
- Herriman, UT. Renting wins there by $68k.