{"id":48575,"date":"2026-10-12T07:12:12","date_gmt":"2026-10-12T11:12:12","guid":{"rendered":"https:\/\/moveadvisor.com\/move\/?p=48575"},"modified":"2026-10-12T07:12:12","modified_gmt":"2026-10-12T11:12:12","slug":"should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore","status":"publish","type":"post","link":"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/","title":{"rendered":"Should You Buy a Home in Your 20s? The Cost Most Rent vs Buy Calculators Ignore"},"content":{"rendered":"<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/445\" width=\"690\" height=\"445\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/Renting-vs-buying-in-your-20s.jpg\" alt=\"\" class=\"wp-image-48578 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/Renting-vs-buying-in-your-20s.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/Renting-vs-buying-in-your-20s-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<div class=\"wp-block-ultimate-post-table-of-content ultp-block-d599b2\"><div class=\"ultp-block-wrapper\"><div class=\"ultp-block-toc\"><div class=\"ultp-toc-header\"><div class=\"ultp-toc-heading\">Table of Contents<\/div><div class=\"ultp-collapsible-toggle  ultp-collapsible-right\"><a class=\"ultp-collapsible-text ultp-collapsible-open\" href=\";\">[Open]<\/a><a class=\"ultp-collapsible-text ultp-collapsible-hide\" href=\";\">[Close]<\/a><\/div><\/div><div class=\"ultp-block-toc-style1 ultp-block-toc-body\"><ul class=\"ultp-toc-lists\"><li><a href=\"#Young_Americans_Are_Already_Buying_Later\">Young Americans Are Already Buying Later<\/a><\/li><li><a href=\"#Is_Renting_Really_Throwing_Money_Away?\">Is Renting Really Throwing Money Away?<\/a><\/li><li><a href=\"#What_Does_a_Mortgage_Look_Like_in_2026?\">What Does a Mortgage Look Like in 2026?<\/a><\/li><li><a href=\"#Your_Career_May_Be_a_Bigger_Asset_Than_Your_House\">Your Career May Be a Bigger Asset Than Your House<\/a><\/li><li><a href=\"#How_Long_Do_You_Need_to_Stay_for_Buying_to_Make_Sense?\">How Long Do You Need to Stay for Buying to Make Sense?<\/a><\/li><li><a href=\"#What_About_the_Down_Payment_You_Did_Not_Invest?\">What About the Down Payment You Did Not Invest?<\/a><\/li><li><a href=\"#Can_Renting_Build_Wealth?\">Can Renting Build Wealth?<\/a><\/li><li><a href=\"#Could_Renting_for_Life_Actually_Work?\">Could Renting for Life Actually Work?<\/a><\/li><li><a href=\"#When_Buying_in_Your_20s_Can_Make_Excellent_Sense\">When Buying in Your 20s Can Make Excellent Sense<\/a><\/li><li><a href=\"#A_Simple_Rent-vs-Buy_Check_for_Your_20s\">A Simple Rent-vs-Buy Check for Your 20s<\/a><\/li><li><a href=\"#The_Property_Ladder_Is_Not_the_Only_Ladder\">The Property Ladder Is Not the Only Ladder<\/a><\/li><\/ul><\/div><\/div><\/div><\/div>\n\n\n\n<p>There is probably no more consistent financial advice given to young people than this: stop wasting money on rent, save a down payment, buy as soon as you can, and get on the property ladder.<\/p>\n\n\n\n<p>It sounds sensible. For millions of Americans, homeownership has indeed been an effective way to build wealth.<\/p>\n\n\n\n<p>But buying as early as possible is not automatically the smartest financial decision.<\/p>\n\n\n\n<p>For someone in their 20s, a sensible question they should be asking themselves is, \u201cWhat am I giving up by buying a home now?\u201d<\/p>\n\n\n\n<p>A home does not just commit you financially. It commits you to a place.<\/p>\n\n\n\n<p>During the years when your job, income, relationships, and ideas about where you want to live may change the most, that flexibility can have considerable financial value of its own.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"Young_Americans_Are_Already_Buying_Later\">Young Americans Are Already Buying Later<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/445\" width=\"690\" height=\"445\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/01_young_americans_buying_later.jpg\" alt=\"\" class=\"wp-image-48579 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/01_young_americans_buying_later.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/01_young_americans_buying_later-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<p>The traditional timeline for homeownership has changed dramatically.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.nar.realtor\/press-releases\/first-time-home-buyer-share-falls-to-historic-low-of-21-median-age-rises-to-40\" target=\"_blank\" rel=\"noreferrer noopener\">The National Association of Realtors<\/a> reported that the median first-time buyer reached 40 years old in its 2025 Profile of Home Buyers and Sellers. First-time buyers accounted for just 21% of all buyers, the lowest share in the survey\u2019s history. <\/p>\n\n\n\n<p>The U.S. homeownership rate for householders under 35 was 36.8% in the first quarter of 2026, according to the <a href=\"https:\/\/www.census.gov\/housing\/hvs\/current\/index.html\" target=\"_blank\" rel=\"noreferrer noopener\">Census Bureau<\/a>. Some of that delay is obviously not voluntary because housing has become extremely difficult to afford. <\/p>\n\n\n\n<p>But if buying is becoming harder anyway, reaching 25, 30, or even 35 without owning a home should not automatically be regarded as a financial failure.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"Is_Renting_Really_Throwing_Money_Away?\">Is Renting Really Throwing Money Away?<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/445\" width=\"690\" height=\"445\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/02_is_renting_throwing_money_away.jpg\" alt=\"\" class=\"wp-image-48580 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/02_is_renting_throwing_money_away.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/02_is_renting_throwing_money_away-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<p>The most common argument for buying is simple: your rent goes to a landlord, while your mortgage builds equity.<\/p>\n\n\n\n<p>That is true, but only to a certain extent.<\/p>\n\n\n\n<p>A mortgage payment consists of principal and interest.<\/p>\n\n\n\n<p>The principal reduces what you owe and builds equity.<\/p>\n\n\n\n<p>The interest does not. Neither do property taxes, homeowners insurance, HOA charges, maintenance, repairs, buying costs, or many of the expenses involved when you eventually sell.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.consumerfinance.gov\/owning-a-home\/prepare\/determine-your-down-payment\/\" target=\"_blank\" rel=\"noreferrer noopener\">The Consumer Financial Protection Bureau<\/a> estimates that closing costs alone commonly run between 2% and 5% of the purchase price, before the down payment. <\/p>\n\n\n\n<p>So comparing $2,000 of rent with a $2,000 mortgage payment tells you very little. You need to compare the total cost of occupying the property.<\/p>\n\n\n\n<p>Homeowners also tend to spend money on the property itself: furniture, d\u00e9cor, tools, landscaping equipment, plants, and outdoor furniture. Individually, these purchases may seem small, but over time they can add thousands to the cost of ownership.<\/p>\n\n\n\n<p>The point is not that renting is cheap. It is that homeowners also spend large amounts of money they never see again.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"What_Does_a_Mortgage_Look_Like_in_2026?\">What Does a Mortgage Look Like in 2026?<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/445\" width=\"690\" height=\"445\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/03_mortgage_in_2026.jpg\" alt=\"\" class=\"wp-image-48581 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/03_mortgage_in_2026.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/03_mortgage_in_2026-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<p><a href=\"https:\/\/investors.zillowgroup.com\/news-and-events\/news\/news-details\/2026\/Rent-or-buy-How-long-it-takes-for-buying-a-home-to-pay-off-in-each-metro\/default.aspx\" target=\"_blank\" rel=\"noreferrer noopener\">Zillow\u2019s June 2026 rent-versus-buy analysis<\/a> used a typical single-family home value of about $368,720 and a typical monthly rent of about $1,951. <\/p>\n\n\n\n<p>Now consider that home using a 20% down payment and Freddie Mac\u2019s average 6.95% 30-year fixed mortgage rate as of September 17, 2026.<\/p>\n\n\n\n<p>The down payment would be about $73,744, leaving a mortgage of roughly $294,976.<\/p>\n\n\n\n<p>The monthly principal-and-interest payment would be approximately $1,953.<\/p>\n\n\n\n<p>That is almost exactly the $1,951 typical rent figure before the homeowner has paid a dollar of property tax, homeowners insurance, maintenance, HOA fees, or repairs.<\/p>\n\n\n\n<p>During the first five years of that 30-year mortgage, approximately $99,700 of the payments would go toward interest, while only about $17,500 would reduce the principal.<\/p>\n\n\n\n<p>That does not mean buying is a bad investment.<\/p>\n\n\n\n<p>The house may appreciate and add substantial equity.<\/p>\n\n\n\n<p>But appreciation is not guaranteed, which is why \u201crenting is throwing money away\u201d is too simplistic to be useful.<\/p>\n\n\n\n<p>More commonly, homeowners are finding themselves trapped by their low-rate mortgage. In <a href=\"\/move\/the-3-mortgage-prison-is-staying-put-costing-you-more-than-moving\/\">The 3% Mortgage Trap<\/a>, we examine what your low-rate mortgage could actually be costing you.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"Your_Career_May_Be_a_Bigger_Asset_Than_Your_House\">Your Career May Be a Bigger Asset Than Your House<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/444\" width=\"690\" height=\"444\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/04_career_bigger_asset.jpg\" alt=\"\" class=\"wp-image-48582 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/04_career_bigger_asset.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/04_career_bigger_asset-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<p>This is where the usual rent-versus-buy debate becomes more interesting.<\/p>\n\n\n\n<p>Imagine two 27-year-olds. One owns a home. The other rents. Three years later, both are offered a substantially better job 800 miles away.<\/p>\n\n\n\n<p>For the renter, the decision may mostly be about the job, the new city, and the cost of moving when the lease ends.<\/p>\n\n\n\n<p>For the homeowner, there are far more things to consider: What will it cost to sell? Has the house appreciated enough? Will transaction costs wipe out much of the equity? What mortgage rate would replace the existing one? Should the house be rented out instead?<\/p>\n\n\n\n<p>Now, a career decision has become a real estate decision.<\/p>\n\n\n\n<p>Research published in the <a href=\"https:\/\/www.sciencedirect.com\/science\/article\/pii\/S0304405X2400196X\" target=\"_blank\" rel=\"noreferrer noopener\">Journal of Financial Economics<\/a> estimated that rising interest rates reduced mobility among mortgaged homeowners by 16% in 2022 and 2023 as owners became locked into their existing lower mortgage rates. <\/p>\n\n\n\n<p><a href=\"https:\/\/www.federalreserve.gov\/econres\/feds\/locked-in-rate-hikes-housing-markets-and-mobility.htm\" target=\"_blank\" rel=\"noreferrer noopener\">Federal Reserve<\/a> research estimated that mortgage-rate lock-in accounted for about 44% of the decline in mortgage-borrower mobility between 2021 and 2022, although much of that effect involved local rather than long-distance moves. <\/p>\n\n\n\n<p><a href=\"https:\/\/www.federalreserve.gov\/econres\/notes\/feds-notes\/stuck-at-home-the-drag-of-homeownership-on-earnings-after-job-separation-20201112.html\" target=\"_blank\" rel=\"noreferrer noopener\">Federal Reserve<\/a> researchers looking at workers after job separations also found that homeowners\u2019 earnings generally recovered more slowly than renters\u2019 during the periods they studied. The researchers pointed to factors including transaction costs and homeowners restricting their job searches geographically, while cautioning that housing and labor-market conditions affect the results. <\/p>\n\n\n\n<p>The wider academic evidence is not unanimous, and homeownership does not prevent people from moving. But it can make moving more expensive and more complicated.<\/p>\n\n\n\n<p>Most rent-versus-buy calculators model appreciation, rent increases, investment returns, taxes, and maintenance.<\/p>\n\n\n\n<p>Almost none ask how much additional income you might earn because you are willing to relocate.<\/p>\n\n\n\n<p>If a move increases someone\u2019s salary by $15,000, that is $75,000 of additional gross income over five years before considering future raises, promotions, or what that new job might lead to next.<\/p>\n\n\n\n<p>A homeowner can still take that job, of course, but a renter generally faces fewer financial obstacles to saying yes.<\/p>\n\n\n\n<p>For someone whose career could take them to another city, remaining geographically flexible for a few more years can be a deliberate financial strategy rather than deciding to \u201csettle down.\u201d<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"How_Long_Do_You_Need_to_Stay_for_Buying_to_Make_Sense?\">How Long Do You Need to Stay for Buying to Make Sense?<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/445\" width=\"690\" height=\"445\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/05_how_long_to_stay.jpg\" alt=\"\" class=\"wp-image-48583 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/05_how_long_to_stay.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/05_how_long_to_stay-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<p>Homes are expensive to enter and expensive to leave, which means time matters more than you may think.<\/p>\n\n\n\n<p>Zillow\u2019s 2026 analysis estimated that the typical U.S. buyer needed roughly six years before buying financially overtook renting under the assumptions in its model.<\/p>\n\n\n\n<p>The result varied dramatically by location: in some markets buying reached break-even much sooner, while in San Francisco, San Jose, and New Orleans, renting remained ahead even over the model\u2019s 30-year span.<\/p>\n\n\n\n<p>A later Zillow analysis calculated that the typical household would spend about 8.5 years saving a 20% down payment, followed by another 6.2 years after buying to reach the financial break-even point against renting.<\/p>\n\n\n\n<p>Those figures are not universal rules. Mortgage rates, rents, appreciation, taxes, maintenance, and investment returns can totally change the result.<\/p>\n\n\n\n<p>But the principle remains the same: buying becomes much harder to justify financially if you do not stay long enough.<\/p>\n\n\n\n<p>And the people with the least certainty about where they will be living six or ten years from now are often the people at the beginning of their careers.<\/p>\n\n\n\n<p><a href=\"\/move\/how-much-of-your-life-are-you-sacrificing-just-to-live-in-your-city\/\">Our Life Cost Calculator<\/a> looks at another part of that equation: how much time and money housing and commuting can consume over the years.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"What_About_the_Down_Payment_You_Did_Not_Invest?\">What About the Down Payment You Did Not Invest?<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/445\" width=\"690\" height=\"445\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/06_down_payment_opportunity_cost.jpg\" alt=\"\" class=\"wp-image-48584 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/06_down_payment_opportunity_cost.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/06_down_payment_opportunity_cost-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<p>A down payment creates another cost that never appears on a mortgage statement: opportunity cost.<\/p>\n\n\n\n<p>If you put $73,744 into a house, you no longer have $73,744 available to invest somewhere else.<\/p>\n\n\n\n<p>If, purely for illustration, that money earned an average 7% annual return, it would grow to about $145,000 after ten years, and about $285,000 after twenty years.<\/p>\n\n\n\n<p>Investment returns are never guaranteed, taxes and fees may apply, and markets can fall sharply. Those numbers are an illustration, not a prediction.<\/p>\n\n\n\n<p>The homeowner also has an important advantage: a buyer with a $73,744 down payment controls an asset worth $368,720.<\/p>\n\n\n\n<p>If the property appreciates, the buyer benefits from appreciation on the whole property, not merely the cash originally invested.<\/p>\n\n\n\n<p>That leverage is one reason homeownership has created so much wealth.<\/p>\n\n\n\n<p>At the same time, rising insurance premiums, property taxes, maintenance costs, and borrowing costs can reduce the financial advantage of ownership in some markets.<\/p>\n\n\n\n<p>The point is not that stocks beat houses or houses beat stocks.<\/p>\n\n\n\n<p>It is that the down payment has an alternative use, and a fair rent-versus-buy comparison needs to count it.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"Can_Renting_Build_Wealth?\">Can Renting Build Wealth?<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/445\" width=\"690\" height=\"445\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/07_renting_can_build_wealth.jpg\" alt=\"\" class=\"wp-image-48585 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/07_renting_can_build_wealth.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/07_renting_can_build_wealth-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<p>There is an obvious weakness in the \u201crent and invest the difference\u201d argument: you actually have to invest the difference.<\/p>\n\n\n\n<p>The homeowner does not have much choice. Every mortgage payment automatically directs some money toward principal. Over decades, that forced saving can become considerable home equity.<\/p>\n\n\n\n<p>The renter has no equivalent mechanism. If renting costs $800 less per month but that $800 disappears into restaurants, vacations, cars, and everyday spending, the hypothetical investment advantage does not exist.<\/p>\n\n\n\n<p>A renter who wants to compare fairly with a homeowner therefore needs to do something many people find difficult: save and invest consistently for decades.<\/p>\n\n\n\n<p>If they do, renting can still create substantial wealth. If they do not, the comparison changes dramatically.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"Could_Renting_for_Life_Actually_Work?\">Could Renting for Life Actually Work?<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/445\" width=\"690\" height=\"445\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/08_renting_for_life.jpg\" alt=\"\" class=\"wp-image-48586 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/08_renting_for_life.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/08_renting_for_life-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<p>There is no rule saying homeownership has to be the ultimate goal.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.jchs.harvard.edu\/renters-are-increasingly-higher-income\" target=\"_blank\" rel=\"noreferrer noopener\">Harvard\u2019s Joint Center for Housing Studies <\/a>reports that higher-income renting has been increasing. Of the roughly two million additional renter households created between 2019 and 2024, about 1.5 million (76%) had inflation-adjusted annual incomes of at least $75,000. <\/p>\n\n\n\n<p>That does not mean affluent Americans have suddenly abandoned homeownership, but it does show that renting is not confined to people who simply cannot afford to buy.<\/p>\n\n\n\n<p>And maybe those higher earners are earning more because they can be more mobile than those tied to a mortgage.<\/p>\n\n\n\n<p>A renter can accumulate stocks, bonds, retirement accounts, business interests, and other assets instead of concentrating a large share of personal wealth in one property.<\/p>\n\n\n\n<p>They can also move more easily, change the size of their home as circumstances change, and potentially live in locations where buying would be prohibitively expensive.<\/p>\n\n\n\n<p>But lifelong renting creates a problem that should not be ignored: rent does not disappear at retirement.<\/p>\n\n\n\n<p>Someone who owns a mortgage-free home may still have taxes, insurance, and maintenance, but they no longer have principal-and-interest payments.<\/p>\n\n\n\n<p>Renting for life can work. It simply requires a different wealth-building and retirement plan.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"When_Buying_in_Your_20s_Can_Make_Excellent_Sense\">When Buying in Your 20s Can Make Excellent Sense<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/445\" width=\"690\" height=\"445\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/09_buying_in_your_20s.jpg\" alt=\"\" class=\"wp-image-48587 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/09_buying_in_your_20s.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/09_buying_in_your_20s-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<p>None of this means young people should avoid buying homes.<\/p>\n\n\n\n<p>Consider someone who is 28, loves where they live, has stable employment, expects to remain there for the next decade, has an emergency fund after making the down payment, and can comfortably afford the complete cost of ownership.<\/p>\n\n\n\n<p>Buying may make excellent sense.<\/p>\n\n\n\n<p>They get stability and control over their home. They begin paying down debt. A fixed-rate mortgage can protect them from increases in the principal-and-interest portion of their housing payment.<\/p>\n\n\n\n<p>And if the property appreciates over a long period, homeownership can produce considerable wealth.<\/p>\n\n\n\n<p>Someone raising children may also value staying in the same school district more highly than the ability to relocate every few years.<\/p>\n\n\n\n<p>A house is not merely an investment. It is the place you live.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"A_Simple_Rent-vs-Buy_Check_for_Your_20s\">A Simple Rent-vs-Buy Check for Your 20s<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/445\" width=\"690\" height=\"445\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/10_rent_vs_buy_check.jpg\" alt=\"\" class=\"wp-image-48588 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/10_rent_vs_buy_check.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/10_rent_vs_buy_check-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<p>Buying may make more sense if:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>You expect to stay in the same area for at least several years and ideally long enough to clear the likely break-even period.<\/li>\n\n\n\n<li>You have an emergency fund left after the down payment and closing costs.<\/li>\n\n\n\n<li>You can comfortably afford the full ownership cost, not just principal and interest.<\/li>\n\n\n\n<li>Your career and personal plans do not depend heavily on geographic flexibility.<\/li>\n\n\n\n<li>Buying will not prevent you from saving for retirement or other important goals.<\/li>\n<\/ul>\n\n\n\n<p>Renting may make more sense if:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>You are likely to change jobs, cities, or household size in the next few years.<\/li>\n\n\n\n<li>Buying would use most of your savings or leave you financially stretched.<\/li>\n\n\n\n<li>Equivalent rent is substantially cheaper than the total cost of owning.<\/li>\n\n\n\n<li>You value the ability to move quickly for career or personal opportunities.<\/li>\n\n\n\n<li>You are disciplined enough to save and invest money that would otherwise go toward ownership.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"The_Property_Ladder_Is_Not_the_Only_Ladder\">The Property Ladder Is Not the Only Ladder<\/h2>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" loading=\"lazy\" decoding=\"async\" data-aspectratio=\"690\/445\" width=\"690\" height=\"445\" data-src=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/11_property_ladder.jpg\" alt=\"\" class=\"wp-image-48589 lazyload\" data-srcset=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/11_property_ladder.jpg 690w, https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/11_property_ladder-300x193.jpg 300w\" sizes=\"(max-width: 690px) 100vw, 690px\" \/><\/figure><\/div>\n\n\n<p>Before you ask yourself if you can afford to buy, ask yourself if you are ready to make a long-term financial commitment to a particular place.<\/p>\n\n\n\n<p>Being able to produce a down payment does not mean your career has stopped moving.<\/p>\n\n\n\n<p>Qualifying for a mortgage does not mean you have discovered where you want to spend the next decade.<\/p>\n\n\n\n<p>And reaching 25, 30, or 35 without owning property does not automatically mean you have fallen financially behind.<\/p>\n\n\n\n<p>You may simply own different assets or be keeping an option open.<\/p>\n\n\n\n<p>There is no universal winner in renting versus buying.<\/p>\n\n\n\n<p>The numbers depend on the city, property price, rent, mortgage rate, taxes, maintenance, investment returns, appreciation, and, crucially, how long you stay.<\/p>\n\n\n\n<p>The mistake is assuming that ownership is automatically responsible and renting automatically wasteful.<\/p>\n\n\n\n<p>A home can give you roots. Renting can give you options.<\/p>\n\n\n\n<p>And especially when you are young, options can be worth a great deal of money.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>There is probably no more consistent financial advice given to young people than this: stop wasting money on rent, save a down payment, buy as soon as you can, and get on the property ladder. It sounds sensible. For millions of Americans, homeownership has indeed been an effective way to build wealth. But buying as &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Should You Buy a Home in Your 20s? The Cost Most Rent vs Buy Calculators Ignore&#8221;<\/span><\/a><\/p>\n","protected":false},"author":19,"featured_media":48577,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"ub_ctt_via":"","footnotes":""},"categories":[1],"tags":[],"class_list":["post-48575","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-guides","entry"],"acf":[],"featured_image_src":"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/Renting-or-buying-in-your-20s.jpg","author_info":{"display_name":"Peter Langley","author_link":"https:\/\/moveadvisor.com\/move\/author\/peter-langley\/"},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.8.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Should You Buy a Home in Your 20s? The Cost Most Rent vs Buy Calculators Ignore - MoveAdvisor<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Should You Buy a Home in Your 20s? The Cost Most Rent vs Buy Calculators Ignore - MoveAdvisor\" \/>\n<meta property=\"og:description\" content=\"There is probably no more consistent financial advice given to young people than this: stop wasting money on rent, save a down payment, buy as soon as you can, and get on the property ladder. It sounds sensible. For millions of Americans, homeownership has indeed been an effective way to build wealth. But buying as &hellip; Continue reading &quot;Should You Buy a Home in Your 20s? The Cost Most Rent vs Buy Calculators Ignore&quot;\" \/>\n<meta property=\"og:url\" content=\"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/\" \/>\n<meta property=\"og:site_name\" content=\"MoveAdvisor\" \/>\n<meta property=\"article:published_time\" content=\"2026-10-12T11:12:12+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/Renting-or-buying-in-your-20s.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"675\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Peter Langley\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Peter Langley\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"11 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Should You Buy a Home in Your 20s? The Cost Most Rent vs Buy Calculators Ignore - MoveAdvisor","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/","og_locale":"en_US","og_type":"article","og_title":"Should You Buy a Home in Your 20s? The Cost Most Rent vs Buy Calculators Ignore - MoveAdvisor","og_description":"There is probably no more consistent financial advice given to young people than this: stop wasting money on rent, save a down payment, buy as soon as you can, and get on the property ladder. It sounds sensible. For millions of Americans, homeownership has indeed been an effective way to build wealth. But buying as &hellip; Continue reading \"Should You Buy a Home in Your 20s? The Cost Most Rent vs Buy Calculators Ignore\"","og_url":"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/","og_site_name":"MoveAdvisor","article_published_time":"2026-10-12T11:12:12+00:00","og_image":[{"width":1200,"height":675,"url":"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/Renting-or-buying-in-your-20s.jpg","type":"image\/jpeg"}],"author":"Peter Langley","twitter_card":"summary_large_image","twitter_misc":{"Written by":"Peter Langley","Est. reading time":"11 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/","url":"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/","name":"Should You Buy a Home in Your 20s? The Cost Most Rent vs Buy Calculators Ignore - MoveAdvisor","isPartOf":{"@id":"https:\/\/moveadvisor.com\/move\/#website"},"primaryImageOfPage":{"@id":"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/#primaryimage"},"image":{"@id":"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/#primaryimage"},"thumbnailUrl":"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/Renting-or-buying-in-your-20s.jpg","datePublished":"2026-10-12T11:12:12+00:00","author":{"@id":"https:\/\/moveadvisor.com\/move\/#\/schema\/person\/d51b77b9c334d89c3a22b51ace423613"},"breadcrumb":{"@id":"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/#primaryimage","url":"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/Renting-or-buying-in-your-20s.jpg","contentUrl":"https:\/\/moveadvisor.com\/move\/wp-content\/uploads\/2026\/10\/Renting-or-buying-in-your-20s.jpg","width":1200,"height":675,"caption":"buy or rent in your 20s?"},{"@type":"BreadcrumbList","@id":"https:\/\/moveadvisor.com\/move\/should-you-buy-a-home-in-your-20s-the-cost-most-rent-vs-buy-calculators-ignore\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/moveadvisor.com"},{"@type":"ListItem","position":2,"name":"Moving Blog","item":"https:\/\/moveadvisor.com\/move\/"},{"@type":"ListItem","position":3,"name":"Moving Guides","item":"https:\/\/moveadvisor.com\/move\/guides\/"},{"@type":"ListItem","position":4,"name":"Should You Buy a Home in Your 20s? The Cost Most Rent vs Buy Calculators Ignore"}]},{"@type":"WebSite","@id":"https:\/\/moveadvisor.com\/move\/#website","url":"https:\/\/moveadvisor.com\/move\/","name":"MoveAdvisor","description":"Moving Tips, Checklists and Guides","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/moveadvisor.com\/move\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/moveadvisor.com\/move\/#\/schema\/person\/d51b77b9c334d89c3a22b51ace423613","name":"Peter Langley","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/moveadvisor.com\/move\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/e4a3d9229b31e26985e3f958cd6bb595?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/e4a3d9229b31e26985e3f958cd6bb595?s=96&d=mm&r=g","caption":"Peter Langley"},"description":"Peter is a regular contributor to the blog and a relocation specialist. He is also a seasoned UK and International homeowner, who now brings the knowledge gained from those moves, to add real-life experience to his work. Peter has also been at various sales and marketing positions within companies in the industry so he has deep knowledge of the relocation process. Since 2017, Peter is involved with the relocation industry in the USA as he has extensive knowledge on long distance household relocation. With his articles, he have helped tens of thousands of people plan their relocation. His work have been featured on many industry blogs and publications. You can contact Peter at peter@mymovingreviews.com","url":"https:\/\/moveadvisor.com\/move\/author\/peter-langley\/"}]}},"_links":{"self":[{"href":"https:\/\/moveadvisor.com\/move\/wp-json\/wp\/v2\/posts\/48575"}],"collection":[{"href":"https:\/\/moveadvisor.com\/move\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/moveadvisor.com\/move\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/moveadvisor.com\/move\/wp-json\/wp\/v2\/users\/19"}],"replies":[{"embeddable":true,"href":"https:\/\/moveadvisor.com\/move\/wp-json\/wp\/v2\/comments?post=48575"}],"version-history":[{"count":2,"href":"https:\/\/moveadvisor.com\/move\/wp-json\/wp\/v2\/posts\/48575\/revisions"}],"predecessor-version":[{"id":48590,"href":"https:\/\/moveadvisor.com\/move\/wp-json\/wp\/v2\/posts\/48575\/revisions\/48590"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/moveadvisor.com\/move\/wp-json\/wp\/v2\/media\/48577"}],"wp:attachment":[{"href":"https:\/\/moveadvisor.com\/move\/wp-json\/wp\/v2\/media?parent=48575"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/moveadvisor.com\/move\/wp-json\/wp\/v2\/categories?post=48575"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/moveadvisor.com\/move\/wp-json\/wp\/v2\/tags?post=48575"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}