Rent vs buy in Temple, TX

In Temple, Texas, typical rent is $1,383 /mo, while a typical home costs $243,946.

Rent

Renting comes out ahead by $5k across 7 years.

Today's mortgage rate and 20% down set the calculation, which uses Temple's typical home value and rent. The break-even point arrives in year 9.

Clearly marked as an opinion, with the math shown. These figures are estimates, not quotes. Adjust any number and the stamp will change.

Renting comes out ahead by: $5k
Break-even point: year 9
Actual cost of owning: $2,303 /mo

Change my numbers

Based on Temple's figures, the stamp applies the typical rent and home value. Your rent, price and years can change the outcome.

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Is renting or buying cheaper in Temple?

Renting costs $4,881 less over 7 years, including the money returned to you when you sell. For the first 8 years, renting costs less. By year 9, owning catches up.

Renting. Owning. Net cost by year so far.

Average rent compared with mortgage payment in Temple

Rent and the mortgage don't tell the whole story. Here are all monthly costs for year 1 at Temple's typical price.

Each month, year 1	Amount	What it is
Rent	$1,383	All of it, every month
Mortgage payment	$1,330	$1,172 of it is interest in year 1
Property tax	$319	1.57% of the value a year
Insurance	$110	Census median for the city
Upkeep	$203	1% of the value a year
Owning, cash out	$1,962	$158 of it builds equity
Lost return on the down payment	$397	Annual return on the cash at 8.3%
Buying costs, spread out	$102	3.5% of the price over 7 years
True cost of owning	$2,303	Cash paid, minus equity, plus the two amounts above

The figures behind Temple's verdict

Typical home valueZillow ZHVI, September 2026: $243,946
Typical rentZillow ZORI, September 2026: $1,383 /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, Temple: 1.57% of value
Home insuranceCensus ACS 2020-2024, Temple: $110 /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 make Temple's verdict flip?

Each line marks where Temple's 7-year result changes, while all other factors stay the same.

Renting comes out ahead when

Our calculation uses Texas's long-run rate of 4.7%. Home prices grow by less than 4.9% each year.
The mortgage rate remains over 6.89%.
A similar home rents for under $1,440 a month, compared with the typical $1,383 here.
Before year 9, you move.

Buying comes out ahead when

Each year, home prices rise by more than 4.9%.
You lock a mortgage rate under 6.89% (today's is 7.24%).
For the same home, you would pay over $1,440 in monthly rent.
Staying for 9 years or more.

How Temple compares with the other 812 cities

Measure	Temple	Median city
Typical home value	$243,946	$422,451
Typical rent	$1,383 /mo	$1,837 /mo
Price-to-rent ratio	14.7 (#640 of 813)	18.5
Home prices, last 10 years	5.5% a year	6.2% a year
Rents, last 5 years	1.7% a year	4% a year
Property tax	1.57%	0.87%
Households that rent	48%	42%

Sources: Zillow ZHVI and ZORI, Census ACS 2020-2024.

More cities across Texas

It's a toss-up. Houston, TX. Renting leads by $2k.
Renting wins. San Antonio, TX. It has a $10k lead.
Renting wins. Dallas, TX. It has a $20k lead.
Renting wins. Fort Worth, TX. It has a $17k lead.
Renting wins. Austin, TX. It has a $111k lead.
Renting wins. Arlington, TX. It has a $34k lead.

State rent vs buy numbers for Texas