Estimated Home Price
$538,000
Typical 2-3 BR; metro housing index applied to national median
Estimated Monthly Rent
$2,375
Comparable 2-3 BR rental in Baltimore, MD
Property Tax Rate
1.06%
Effective rate, Maryland
Estimated Mortgage
$2,644/mo
20% down, 30-year fixed at 6.23%
Break-Even
never (within 30 years)
When buying net worth catches renting + invested down payment
10-Year Net Worth
$354,914
Buyer (vs renter $495,245)
The Verdict for Baltimore, MD
Renting tends to win over a 10-year horizon at current Baltimore, MD rents and prices — the higher home price and ownership costs outpace Baltimore, MD's rents.
National 2025 averages used for the rest: 6.23% mortgage rate, 3.5% home appreciation, 8% investment return, 24% marginal tax bracket, no itemising, 10-year horizon, South regional defaults. Your situation differs — adjust below.
What this calculation accounts for
- Buyer side: mortgage P&I, property tax, homeowner's insurance, maintenance (1% of home value annually), HOA, closing costs (3% buying / 6% selling), tax-deductible mortgage interest if itemising.
- Renter side: rent escalating 3%/year; the down payment + closing costs and the monthly cash savings vs ownership invested at 8% annualised.
- Apples-to-apples comparison: the renter is assumed to invest the difference, not spend it. If you wouldn't actually invest it, ownership wins by a wider margin via forced savings.
- Not modelled: moving costs, recurring transaction friction, the option value of mobility, your own preference for stability vs flexibility.
Baltimore, MD cost-of-living context
Baltimore, MD's housing cost is at index 128 against the U.S. national average of 100 — meaning housing here costs roughly 128% of the national average. The composite cost-of-living index is 110.
See the full cost of living comparison to compare Baltimore, MD against your current city, or the mortgage calculator to size payments at different prices.