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Why mortgage expertise did not make buying the obvious choice
Robinson-Walker’s experience is personal, not a universal rule to rent. She bought three homes, but her circumstances changed. After moving out of state, she sold her first home in 2014 for $250,000. When she later returned to her hometown and saved to buy again, homes she was accustomed to were no longer affordable, and she lost bidding wars on homes within reach.
In 2022, she saw her former home listed for $399,000. The article estimated its value at $450,000 as of its September 23, 2026 publication—not a current valuation. It can look like a missed opportunity in hindsight, but she could not know what the market would do when she sold. She had to make a decision based on the life and finances she had then.
Buying can build equity and provide a stable place to live, but those benefits do not make every purchase affordable or suitable. A mortgage payment that fits on paper is not, by itself, proof that the whole home fits your budget.
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Calculate the whole cost of owning, not just the mortgage payment
Principal and interest are only part of the bill. Robinson-Walker’s article also names property taxes, homeowners insurance, homeowners association fees, repairs and maintenance. Some of these costs recur; others arrive unpredictably. A budget that leaves no room for them can make a technically manageable mortgage feel unaffordable.
Upfront cash matters too. The article used a $403,000 median sale price for Lee’s Summit, Missouri, attributed to the Zillow Home Values Index at publication on September 23, 2026. Its arithmetic illustrates the scale of the commitment; these are examples tied to that place, price and article date, not a quote or universal loan requirement.
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| Illustration for a $403,000 home | Amount | Qualification |
|---|---|---|
| 3% down | $12,090 | The article described 3% as the minimum for most conventional loans; requirements vary by borrower and loan. |
| 17% down | $68,510 | The article described this as the median for the author’s age group, without naming a dataset in the surfaced text. |
| Closing costs at 2% | $8,060 | The article gave a general range of 2%–5% of purchase price; this is the low-end illustration. |
Combining the 3% down-payment illustration with 2% closing costs puts cash needed above $20,000 before repairs or updates. A larger down payment raises the cash required, while a smaller one does not erase closing costs or the ongoing costs of ownership.
The article also attributed three findings to NerdWallet’s 2026 Home Buyer Report: 62% of homeowners said owning was more expensive than expected, 34% considered themselves “house poor,” and 44% said their current home purchase was more about feelings than finances. The article does not provide the survey methodology, so treat these as reported survey results rather than a forecast of what any particular buyer will experience.
Compare the home with what the money could do elsewhere
To make a fair comparison, include not only rent versus the mortgage but also the down payment, closing costs, maintenance and other ownership bills. Kate Ashford, NerdWallet spokesperson and lead wealth writer, puts it this way: “To make a fair comparison, you have to consider the full costs of renting vs. buying,”
Money kept available by renting could support retirement saving, an emergency reserve or investing. That does not mean investment growth is guaranteed, or that renters automatically invest the difference. The comparison only works if you consider what you would actually do with the money.
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Ashford offered a hypothetical illustration: investing $20,000 at 6% annually could grow to $47,000 in 15 years; investing an additional $1,000 per year instead of home-maintenance costs could yield $71,000 in the illustration. These are assumed-return examples, not a promised result, and actual investment outcomes can differ.
Retirement needs deserve particular attention if a home purchase would use savings you may need later. Ethel J. Davis, CEO and portfolio manager of VZD Capital Management, advises: “Go back in the last 10 years and go to that one year that you made the most money,” when estimating retirement needs. That is one perspective to consider, not a substitute for a personalized retirement plan.
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Account for how long you may stay and how life can change
Local prices and the length of time you expect to live in a home affect the comparison. Robinson-Walker’s Lee’s Summit example cannot settle the decision in another city or for a buyer with a different time horizon. A purchase can become difficult if you need to move, lose income, divorce, take on caregiving responsibilities or face a health change while carrying the home’s costs.
Renting may preserve flexibility and keep some cash accessible; buying may suit someone whose finances, local market and plans support the commitment. Neither choice is automatically a sign of progress or failure. Davis’s advice is: “Go deep inside yourself. Don’t worry about what other people think, because nowadays, one size does not fit all.”
Use a personal affordability check before deciding
- Cash at closing: Add the down payment and estimated closing costs, then account for any immediate repairs or updates.
- Ongoing ownership budget: Include principal and interest, property taxes, homeowners insurance, any HOA fees, maintenance and repairs—not just the lender’s quoted payment.
- Reserves and other goals: Ask whether buying would leave enough for emergencies, retirement saving and the priorities you would otherwise fund.
- Time and flexibility: Consider how long you realistically expect to stay and whether a move, job change or family need could disrupt that plan.
- Quality of life: Decide whether the full cost leaves room for the things you value, rather than merely whether you can make the mortgage payment today.
Ashford notes: “If renting costs less and you consistently invest the difference, you can still build wealth over time. And depending on your local housing market and personal circumstances, renting may be the better financial choice.” The key conditions are part of the point: rent needs to be compared with the full cost of ownership, and the assumed difference only supports wealth-building if it is actually saved or invested.
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