Rent vs buy in Richardson, TX
Typical rent is $1,648 a month and a typical home costs $437,432 in Richardson, Texas.
Over 7 years, renting is $85k ahead.
Today's mortgage rate applies, along with 20% down, using Richardson's typical rent and home value. No break-even within 30 years.
Clearly labelled opinion with the math shown. Estimates, not quotes. Adjust any number and the stamp updates.
- Renting leads by
- $85k after 7 years
- Break-even point
- 30 years or more owning never catches up sooner
- What owning really costs
- $4,117 a month year 1, against $1,648 rent
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The stamp relies on Richardson's typical rent and home value figures. The result can flip based on your rent, your price and your years.
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Enter the rent, price and down payment you want to use. Those figures change the stamp.
Is it cheaper to rent or buy in Richardson?
Counting the money you get back when you sell, renting is cheaper by $85,016 over 7 years. In every year shown, renting's net cost is below owning's, and owning fails to catch up within 30 years.
Rent. Buy. Net cost by year so far.
Richardson: average rent vs mortgage payment
Rent and the mortgage don't cover everything. Here are all monthly costs for year 1, using Richardson's typical price.
| Each month, year 1 | Amount | What it is |
|---|---|---|
| Rent | $1,648 | All of it, every month |
| Mortgage payment | $2,385 | $2,102 of it is interest in year 1 |
| Property tax | $547 | 1.5% of the value a year |
| Insurance | $210 | Census median for the city |
| Upkeep | $365 | 1% of the value a year |
| Owning, cash out | $3,506 | $283 of it builds equity |
| Lost return on the down payment | $711 | What the cash would earn each year at 8.3% |
| Buying costs, spread out | $182 | 3.5% of the price over 7 years |
| True cost of owning | $4,117 | Cash out, take out the equity part, then add the two lines above |
Richardson verdict: the numbers behind it
- Typical home valueZillow ZHVI, September 2026
- $437,432
- Typical rentZillow ZORI, September 2026
- $1,648 /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, Texas, 1995 to 2025
- 4.7% 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, Richardson
- 1.5% of value
- Home insuranceCensus ACS 2020-2024, Richardson
- $210 /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 flip the result in Richardson?
Every line shows where the 7-year Richardson verdict changes, while all other inputs stay as they are.
When renting wins
- Home values rise more slowly than 7.0% each year (our figure is 4.7%, Texas's long-run average).
- The mortgage rate remains higher than 3.75%.
- Rent for a home like this is under $2,560 each month (typical here: $1,648).
- Moving at any point during the next 30 years means owning stays behind at these numbers.
When buying wins
- Home prices rise by more than 7.0% a year.
- You lock in a mortgage rate under 3.75% (today's is 7.24%).
- The same home would cost more than $2,560 a month to rent.
How the other 812 cities compare with Richardson
| Measure | Richardson | Median city |
|---|---|---|
| Typical home value | $437,432 | $422,451 |
| Typical rent | $1,648 /mo | $1,837 /mo |
| Price-to-rent ratio | 22.1 (#239 of 813) | 18.5 |
| Home prices, last 10 years | 5.5% a year | 6.2% a year |
| Rents, last 5 years | 1.1% a year | 4% a year |
| Property tax | 1.50% | 0.87% |
| Households that rent | 49% | 42% |
Sources: Zillow ZHVI and ZORI, Census ACS 2020-2024.
Additional cities in Texas
- Close call. Houston, TX. Toss-up, with renting ahead by $2k overall.
- Renting. San Antonio, TX. Renting wins by $10k overall.
- Renting. Dallas, TX. Renting wins by $20k overall.
- Renting. Fort Worth, TX. Renting wins by $17k overall.
- Renting. Austin, TX. Renting wins by $111k overall.
- Close call. El Paso, TX. Toss-up, with buying ahead by $2k overall.
- Renting. Arlington, TX. Renting wins by $34k overall.
- Buying. Corpus Christi, TX. Buying wins by $4k overall.
- Renting. Plano, TX. Renting wins by $105k overall.
- Close call. Lubbock, TX. Toss-up, with buying ahead by $2k overall.
- Renting. Laredo, TX. Renting wins by $20k overall.
- Renting. Irving, TX. Renting wins by $36k overall.