Quick answer
At current rates, renting wins over the full 30-year horizon in Portland. Monthly ownership cost $3,506 (vs $$1,980/mo rent) plus OR's 0.97% property tax make the math tough.
Rent vs Buy · OR
Rent vs Buy in Portland (2026)
Real math using OR's 0.97% property tax rate, $1,100/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 Portland at OR'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
$3,506/mo
Mortgage P&I
$398,400 loan, 30yr @ 6.8%
$2,597
Property tax
0.97% of assessed (OR avg)
$403
Homeowners insurance
$1,100/yr OR avg
$92
Maintenance
1%/yr of home value
$415
Cash at close: ~$112,050 ($20% down + fees)
Renting
$1,980/mo
2BR rent (median)
Portland market rate
$1,980
Renters insurance
~$15/mo typical
$15
Down payment invested
$99,600 growing at 7%/yr
(opportunity cost)
Monthly gap: $1,526 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 | $577,318 | $-145,598 | +$114,634 | $-260,232 |
| Year 10 | $669,270 | $-214,238 | +$153,962 | $-368,200 |
| Year 15 | $775,868 | $-252,397 | +$230,268 | $-482,665 |
| Year 30 | $1,208,777 | $-43,943 | +$906,270 | $-950,213 |
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 Portland?
In Portland at current mortgage rates (6.8%), renting and investing the down payment beats buying for the full 30-year horizon. Median monthly ownership costs ($3,506) well exceed median 2BR rent ($1,980), and OR's 0.97% property tax makes the math especially tough.
What's the monthly cost of owning a home in Portland?
On a median $498K home with 20% down at 6.8% fixed rate: mortgage P&I $2,597, property tax $403 (0.97% of assessed value), homeowners insurance $92 (OR average $1,100/year), and maintenance $415 (1% of home value/year). Total: $3,506/month.
How much down payment do I need to buy in Portland?
20% down on a median Portland home ($498K) is $99,600. Plus closing costs of roughly 2.5% ($12,450). Total cash-to-close: about $112,050. FHA loans allow 3.5% down ($17,430) but require mortgage insurance that adds ~$194/month.
What's the 10-year cost of renting vs buying in Portland?
Over 10 years in Portland: renters pay $272,382 in cumulative rent but have $426,344 invested (assuming 7% return on the $99,600 down payment + monthly savings). Buyers have paid $503,101 in total ownership costs and hold $329,019 in home equity. Net: renting is ahead by $368,200 at year 10.