Rent or buy in Billings? Renting is $1,476 a month cheaper.
Renting the typical home in Billings costs $1,476 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 September 26, 2026 · Zillow data for August 2026 · 7.03% mortgage rate (Freddie Mac, September 24, 2026) · Rank 273 of 340 (1 = owning closest to renting) · Part of our 2026 rent vs. buy study
Monthly cost to own$2,902typical home, 20% down
Typical monthly rent$1,426Zillow, August 2026
Buying breaks even30+ years3.5% price growth
Cash needed to buy$92,189$400,819 home · 20% down + 3% closing
Income needed to own$116,078vs. $57,040 to rent · 30% rule
Where the monthly money goes.
The first-month cost of owning the typical Billings home, split into its parts, against the typical rent. About $261 of the first mortgage payment is principal, which you keep as equity.
The median household income in Billings is $73,712 (Census ACS 2020–2024). Owning the typical home would take 47% of it; renting would take 23%.
As a check with a larger rental, HUD's FY2027 Fair Market Rent for a three-bedroom home in the Billings, MT HUD Metro FMR Area area is $1,983 a month, still $919 below the cost of owning.
Own
$2,902
Rent
$1,426
Mortgage principal & interest $2,140
Property tax $281
Home insurance $147
Maintenance $334
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%.
Price is the Zillow Home Value Index and rent the Zillow Observed Rent Index for Billings. The cost of owning includes principal and interest at 7.03% with 20% down, property tax at the city's 0.84% effective rate (Census ACS), the Montana 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.