Question 1

Is it better to rent or buy in 2026?

Accepted Answer

The decision depends on interest rates, home prices, and your timeline. Generally, buying is better if you plan to stay 5-7+ years. Use our calculator to find your specific break-even point.

Question 2

What is the 5% rule for renting vs buying?

Accepted Answer

The 5% rule states that unrecoverable costs of owning are roughly 5% of the home value annually (1% property tax, 1% maintenance, 3% cost of capital). If annual rent is less than 5% of the home price, renting may be cheaper.

HEART O' TEXAS FEDERAL CREDIT UNION