Rent vs buy in San Francisco, CA
A typical home in San Francisco, California is $1,441,021, and typical rent is $4,784 /mo.
Over 7 years, renting comes out ahead by $128k
At a 20% down payment and today's mortgage rate, the calculation uses the typical rent and home value in San Francisco's market. The break-even point arrives in year 13.
A clearly labeled opinion that shows the math. These are estimates, not quotes. The stamp updates whenever you change a number.
- Renting leads by
- $128k after 7 years
- Break-even point
- Year 13 when owning catches up
- The true cost of owning
- $12,047 per month year 1, against $4,784 rent
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Behind the stamp are the typical rent and home value for San Francisco's market. Your rent, price, and years can reverse the result.
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Is it cheaper to rent or buy in San Francisco?
Counting the money that comes back to you when you sell, renting costs $128,319 less over 7 years. For the first 12 years, renting costs less. Owning catches up in the 13th year.
Renting. Owning. Net cost to date, by year.
Comparing average rent with the mortgage payment in San Francisco
Rent and the mortgage don't tell the whole story. At San Francisco's typical price, these are all monthly costs in year 1.
| Each month, year 1 | Amount | What it is |
|---|---|---|
| Rent | $4,784 | All of it, every month |
| Mortgage payment | $7,856 | $6,925 of it is interest in year 1 |
| Property tax | $853 | 0.71% of the value a year |
| Insurance | $126 | Census median for the city |
| Upkeep | $1,201 | 1% of the value a year |
| Owning, cash out | $10,036 | $932 of it builds equity |
| Lost return on the down payment | $2,342 | Annual return on the cash: 8.3% |
| Buying costs, spread out | $600 | 3.5% of the price over 7 years |
| True cost of owning | $12,047 | Cash out, subtract the equity part, add the two lines above |
San Francisco: the numbers behind the verdict
- Typical home value: Zillow ZHVI, September 2026
- $1,441,021
- Typical rent: Zillow ZORI, September 2026
- $4,784 a month
- With a 20% down payment, you avoid private mortgage insurance, which the engine doesn't model.
- 20%
- Mortgage rate source: Freddie Mac Primary Mortgage Market Survey (FRED MORTGAGE30US)
- 7.24%
- Growth in home pricesFHFA house price index for California, 1995 to 2025
- 5.3% each year
- Annual rent growth from CPI rent of primary residence: CPI data, 2006 to 2026
- Each year: 3.5%
- Savings return: 60% S&P 500 with dividends plus 40% 10-year Treasuries, rebalanced each year, 1928 to 2025
- Each year: 8.3%
- Local property tax: Census ACS 2020-2024, San Francisco
- 0.71% applies to value
- Home insurance costs: Census ACS 2020-2024, San Francisco
- Monthly: $126
- Maintenance costs, low end of 1% to 4%: Fannie Mae
- Yearly rate: 1% of value
- Buying costs, middle of 2% to 5%: Freddie Mac
- 3.5% applies to price
- Selling costsAgent commission and closing costs
- 6% of the price
What would change the result in San Francisco?
Each line marks a switch in San Francisco's 7-year verdict, with everything else unchanged.
Renting comes out ahead when
- Home prices rise by less than 6.3% each year (the calculation uses 5.3%, California's long-run rate).
- A mortgage rate remains over 5.66%.
- Here, a home like this has monthly rent below $6,160, with a typical amount of $4,784.
- You make the move before year 13.
When buying wins
- Home value growth runs above 6.3% yearly.
- You secure a mortgage rate under 5.66% (the current rate is 7.24%).
- The same home would cost more than $6,160 a month to rent.
- You stay 13 years or more.
San Francisco compared with the other 812 cities
| Measure | San Francisco | Median city |
|---|---|---|
| Typical home value | $1,441,021 | $422,451 |
| Typical rent | $4,784 /mo | $1,837 /mo |
| Price-to-rent ratio | 25.1 (#143 of 813) | 18.5 |
| Home prices, last 10 years | 2.5% a year | 6.2% a year |
| Rents, last 5 years | 8.1% a year | 4% a year |
| Property tax | 0.71% | 0.87% |
| Households that rent | 62% | 42% |
Sources: Zillow's ZHVI and ZORI, Census ACS 2020-2024.
Additional cities in California
- Rent wins in Los Angeles, CA, coming out ahead by $111k.
- In San Diego, CA, renting comes out ahead by $108k.
- Rent. San Jose, CA. Renting comes out ahead by $210k.
- Buy. Fresno, CA. Buying comes out ahead by $22k.