Quick answer
At current rates, renting wins over the full 30-year horizon in Colorado Springs. Monthly ownership cost $3,226 (vs $$1,800/mo rent) plus CO's 0.55% property tax make the math tough.
Rent vs Buy · CO
Rent vs Buy in Colorado Springs (2026)
Real math using CO's 0.55% property tax rate, $2,400/year average insurance, and a 6.8% 30-year fixed mortgage. Accounts for opportunity cost — what the down payment would earn invested at 7%.
Last updated: April 23, 2026
Verdict at current rates
Renting wins (30-year horizon)
In Colorado Springs at CO's tax rates and current 6.8% mortgages, keeping the down payment invested at 7% beats homeownership even after 30 years. The standard advice "buy to build equity" doesn't apply here at today's price-to-rent ratio.
Monthly Cost Breakdown
Buying
$3,226/mo
Mortgage P&I
$372,000 loan, 30yr @ 6.8%
$2,425
Property tax
0.55% of assessed (CO avg)
$213
Homeowners insurance
$2,400/yr CO avg
$200
Maintenance
1%/yr of home value
$388
Cash at close: ~$104,625 ($20% down + fees)
Renting
$1,800/mo
2BR rent (median)
Colorado Springs market rate
$1,800
Renters insurance
~$15/mo typical
$15
Down payment invested
$93,000 growing at 7%/yr
(opportunity cost)
Monthly gap: $1,426 cheaper than buying. Renter invests that difference.
Year-by-Year Net Position
"Buy wins by" = what you'd clear selling the home minus what the renter has in investments. Positive = buy ahead.
| Year | Home value | Buyer equity (net) | Renter portfolio (net) | Buy wins by |
|---|---|---|---|---|
| Year 5 | $539,062 | $-132,870 | +$110,180 | $-243,050 |
| Year 10 | $624,921 | $-193,391 | +$150,557 | $-343,948 |
| Year 15 | $724,455 | $-224,883 | +$226,063 | $-450,945 |
| Year 30 | $1,128,677 | $-13,433 | +$874,777 | $-888,210 |
Assumptions
Every rent-vs-buy calculator depends on the assumptions. Here are ours — all transparent, none cherry-picked to bias the answer.
This is a rule-of-thumb calculator. Real decisions involve your specific tax bracket, any HOA, mortgage points, closing-cost negotiations, and exact loan terms.
Frequently Asked Questions
Is it better to rent or buy in Colorado Springs?
In Colorado Springs at current mortgage rates (6.8%), renting and investing the down payment beats buying for the full 30-year horizon. Median monthly ownership costs ($3,226) well exceed median 2BR rent ($1,800), and CO's 0.55% property tax makes the math especially tough.
What's the monthly cost of owning a home in Colorado Springs?
On a median $465K home with 20% down at 6.8% fixed rate: mortgage P&I $2,425, property tax $213 (0.55% of assessed value), homeowners insurance $200 (CO average $2,400/year), and maintenance $388 (1% of home value/year). Total: $3,226/month.
How much down payment do I need to buy in Colorado Springs?
20% down on a median Colorado Springs home ($465K) is $93,000. Plus closing costs of roughly 2.5% ($11,625). Total cash-to-close: about $104,625. FHA loans allow 3.5% down ($16,275) but require mortgage insurance that adds ~$181/month.
What's the 10-year cost of renting vs buying in Colorado Springs?
Over 10 years in Colorado Springs: renters pay $247,620 in cumulative rent but have $398,177 invested (assuming 7% return on the $93,000 down payment + monthly savings). Buyers have paid $463,113 in total ownership costs and hold $307,217 in home equity. Net: renting is ahead by $343,948 at year 10.