Estimated Home Price
$1,176,000
Typical 2-3 BR; metro housing index applied to national median
Estimated Monthly Rent
$5,175
Comparable 2-3 BR rental in New York City, NY
Property Tax Rate
1.73%
Effective rate, New York
Estimated Mortgage
$5,780/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
$775,797
Buyer (vs renter $1,194,096)
The Verdict for New York City, NY
Renting tends to win over a 10-year horizon at current New York City, NY rents and prices — the higher home price and ownership costs outpace New York City, NY'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, Northeast 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.
New York City, NY cost-of-living context
New York City, NY's housing cost is at index 280 against the U.S. national average of 100 — meaning housing here costs roughly 280% of the national average. The composite cost-of-living index is 155.
See the full cost of living comparison to compare New York City, NY against your current city, or the mortgage calculator to size payments at different prices.