In 2024, renting was cheaper than buying in every major U.S. city. For nurses who want to build wealth, that’s a big deal. Here are the numbers and why Monica and I plan to rent.
These numbers are from November 2024, when this was first written. Pay and prices change every year, so check current rates in Map My Pay.
Renting beats buying right now
A Bankrate study found that renting is cheaper than buying in every major U.S. city right now.
In the 50 biggest metro areas, renting costs 37% less on average. The typical U.S. mortgage is $2,703 a month. Typical rent is $1,979 a month. That’s an average savings of $724 a month.
Where the gap is biggest
These cities have the biggest gaps between renting and buying.
| Metro area | Rent | Mortgage | Gap |
|---|---|---|---|
| San Francisco, CA | $3,024 | $8,486 | +180.7% |
| San Jose, CA | $3,255 | $8,539 | +162.3% |
| Seattle, WA | $2,191 | $4,930 | +125% |
| Salt Lake City, UT | $1,673 | $3,161 | +89% |
| Austin, TX | $1,753 | $3,269 | +86.5% |
Here’s what you’d save each month by renting in these cities. In San Francisco, it’s $5,462. In San Jose, it’s $5,284. In Seattle, it’s $2,739. In Salt Lake City, it’s $1,488. In Austin, it’s $1,516.
Think about what you could do with that extra cash each month. You could invest, start a business, pay off debt or just breathe a bit.
Where the gap is smallest
In these cities, the costs are close, so buying might make more sense.
| Metro area | Rent | Mortgage | Gap |
|---|---|---|---|
| Detroit, MI | $1,237 | $1,261 | +2% |
| Pittsburgh, PA | $1,366 | $1,438 | +5.2% |
| Philadelphia, NJ | $1,623 | $1,764 | +8.7% |
| Cleveland, OH | $1,253 | $1,398 | +11.6% |
| Buffalo, NY | $1,233 | $1,482 | +20.2% |
Why Monica and I plan to sell our home
When I wrote this in November 2024, we had decided to sell our house when we move to New York in 2026. Our timeline has changed since then. You can read why our move back to NYC is on hold.
Here’s why renting makes more sense for us.
- More cash: Renting will save us a lot each month. We can put that money toward other goals.
- Lower costs: Owning comes with big bills like upkeep, property taxes and repairs. We can skip those by renting.
- Easy to move: Renting lets us move without the stress of selling a house.
Rent vs buy in NorCal
Nurses in Northern California earn some of the top pay in the U.S. Renting lets you keep more of it.
| City | Median salary | Rent | Left over (renting) | Mortgage | Left over (owning) |
|---|---|---|---|---|---|
| Oakland | $173,510 | $5,068 | $102,043 | $5,711 | $85,176 |
| San Francisco | $173,510 | $7,379 | $88,543 | $9,397 | $85,176 |
| San Jose | $163,070 | $6,984 | $83,808 | $10,581 | $80,050 |
| Sacramento | $137,940 | $3,655 | $80,266 | $6,689 | $70,472 |
Median nurse pay here ranges from $134k to $175k, and many nurses make even more.
In San Francisco and San Jose, renting leaves you with thousands more each year than owning. To see which cities leave nurses the most money, read the top cities for nurse pay in 2024.
What to do with the money you save
- Max out your retirement accounts. Monica and I grew our 401ks to over $300k in less than 5 years. We kept putting money into total stock market index funds.
- Build an emergency fund. Be ready for life’s surprises.
- Invest in index funds. Let your money grow over time.
- Pay off debt. Free up cash and save on interest.
- Grow your career. Use the savings for classes, coaching or school.
For more on building wealth this way, read how nurses build wealth.
We hope this helps you rethink where you live. That goes double if you’re looking at a costly area like Northern California.
Your next move
See what you’d take home, then make the move
Map My Pay shows what nurses take home after taxes and rent at 465+ hospitals and in 21,000+ cities. It’s the app I co-founded so you can compare cities before you pack a single box.
The Nurses to Riches Accelerator is the plan Monica and I used to go from $37 an hour in New York to $143 an hour in California: license, city, hospital, and what to do with the money after.
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Written by Jason, RN. I went from $37 an hour in New York to $143 an hour in California and paid off $128K of debt in under a year. I share our numbers in the Nurses to Riches newsletter and on YouTube.