The Monthly Cost Debate

In 2025, many homebuyers are asking the same question: should I keep renting, or is it finally time to buy a home?

At first glance, renting still appears to be the cheaper option. In many U.S. cities, the monthly rent on a typical apartment is about $900 less than the mortgage payment for a starter home. But the story doesn’t end there.

As Kenn Bartley explains on kennbartley.com, "Rent may seem more affordable right now, but it’s important to look at what you’re getting—or not getting—for that money."

Why Rent Is 100% Interest

Renting gives you no return on your investment. Every dollar you pay is gone forever—no equity, no tax benefits, and no ownership.

For example, $2,000 in rent each month adds up to $24,000 per year—and $120,000 over five years. That’s a huge sum with nothing to show for it.

Buying a home, on the other hand, means part of your payment goes toward your loan principal. That builds equity, which contributes to your net worth. Plus, homeowners may benefit from tax deductions and potential appreciation over time.

Refinancing vs. Rising Rent

One major advantage buyers have in 2025: today’s mortgage rate doesn’t have to be your forever rate.

Kenn Bartley points out that, "You can refinance when rates drop—but rent? It’s almost guaranteed to go up."

Landlords adjust rents annually based on inflation, demand, and market conditions. A fixed-rate mortgage keeps your principal and interest stable, helping you plan your budget long-term.

The 5-Year Perspective

Instead of just comparing monthly payments, look at where each option leads in five years. Renters will have spent tens of thousands with no return. Homeowners, meanwhile, will have built equity, possibly seen appreciation, and locked in their housing cost.

Even if buying costs more upfront, it puts you on a path to long-term wealth and stability—something renting rarely offers.

Let’s Run the Numbers

Not sure if buying is the right move for you this year? According to Kenn Bartley on kennbartley.com, “If you can afford the monthly payment now, it’s worth exploring what’s possible. I help buyers run the real numbers every day—and most are surprised by what they can actually afford.”

Bottom Line

In 2025, renting may be more affordable in the short term, but buying often makes more sense for your future. It’s not just about today’s costs—it’s about where you’ll be in five years.

Sources: Realtor.com, NAR.realtor, Forbes.com, CNBC.com