Research / Rent vs. buy / California / San Francisco

Rent or buy in San Francisco?
Renting is $5,159 a month cheaper.

Renting the typical home in San Francisco costs $5,159 less a month than owning it. Even counting equity and price growth, buying does not come out ahead of renting and investing the difference within 30 years under our baseline assumptions.

Updated November 12, 2026 · Zillow data for September 2026 · 7.11% mortgage rate (Freddie Mac, November 12, 2026) · Rank 277 of 339 (1 = owning closest to renting) · Part of our 2026 rent vs. buy study

Monthly cost to own$9,943typical home, 20% down
Typical monthly rent$4,784Zillow, September 2026
Buying breaks even30+ years3.5% price growth
Cash needed to buy$331,435$1,441,021 home · 20% down + 3% closing
Income needed to own$397,724vs. $191,360 to rent · 30% rule

Where the monthly money goes.

The first-month cost of owning the typical San Francisco home, split into its parts, against the typical rent. About $925 of the first mortgage payment is principal, which you keep as equity.

The median household income in San Francisco is $140,970 (Census ACS 2020–2024). Owning the typical home would take 85% of it; renting would take 41%.

As a check with a larger rental, HUD's FY2027 Fair Market Rent for a three-bedroom home in the San Francisco, CA HUD Metro FMR Area area is $4,832 a month, still $5,111 below the cost of owning.

  • Mortgage principal & interest $7,755
  • Property tax $849
  • Home insurance $138
  • Maintenance $1,201

How long you would need to stay.

Net worth of a buyer compared with a renter who invests the down payment, closing costs and any monthly savings at 6% a year. Home values and rents grow 3.5% a year; selling costs 6%.

Change the assumptions

Buying vs. renting in San Francisco, by years in the home
StayResult
3 yearsRenting ahead by $209,058
5 yearsRenting ahead by $269,754
7 yearsRenting ahead by $337,483
10 yearsRenting ahead by $453,960
15 yearsRenting ahead by $695,257
20 yearsRenting ahead by $1,010,018
30 yearsRenting ahead by $1,946,959

Rent or buy elsewhere in California.

Other large California cities in the study.

All cities
Los AngelesRenting $3,641/mo cheaperSan DiegoRenting $3,763/mo cheaperSan JoseRenting $5,830/mo cheaperFresnoRenting $818/mo cheaperSacramentoRenting $1,315/mo cheaperLong BeachRenting $3,477/mo cheaperOaklandRenting $2,343/mo cheaperBakersfieldRenting $947/mo cheaper

More on San Francisco

See the full San Francisco rental market profile with Census medians, or check how a typical rental performs for an investor in our cash-flow ranking.

How we calculated this

Price is the Zillow Home Value Index and rent the Zillow Observed Rent Index for San Francisco. The cost of owning includes principal and interest at 7.11% with 20% down, property tax at the city's 0.71% effective rate (Census ACS), the California average homeowners premium (NAIC 2023) and 1% yearly maintenance. It leaves out income-tax effects, HOA dues and utilities. The typical rental may be smaller than the typical home for sale. Full methodology. This is a citywide estimate, not advice about a specific home.