Is It Cheaper to Buy or Rent in Chicago?

In some U.S cities, the choice whether to buy or rent is clear cut. In New York, Seattle and San Francisco, for example, renting a two-bedroom saves you money. In Miami, Las Vegas and Phoenix, on the other hand, buying a two-bedroom home is the way to go.

In Chicago, however, making the rent vs buy call is not always so clear-cut. It all depends on where you’d like to live. If you’re looking in the South Loop, you’ll come out ahead buying a home. Right now, prices are low and could get lower. Attractive addresses in the South Loop include Printers Row and Dearborn Park I and II.

If you’re set on a Gold Coast address, renting is cheaper. Gold Coast and Streeterville housing prices are stable, so buyers won’t find the price reductions that exist in other parts of the city. But renters can enjoy a luxury location like 222 East Pearson.

In some places, it’s a close call. Rising rental rates and affordable mortgage payments add up to about the same monthly cost.

To make the right call on your next home in Chicago, start by calling Ted Guarnero for information on downtown Chicago real estate.