Rent vs Buy in Colorado Springs, CO
Colorado Springs's housing market sits in the middle of the national range, with a median listing price of $498,000. Whether buying or renting wins here comes down to your specific numbers rather than any single headline figure.
With rent averaging $995 a month, Colorado Springs's prices sit high relative to what renting the same home costs. A high ratio like this tends to keep renting cheaper month to month until a long stay and price growth swing it.
How Colorado Springs compares
- Homes in Colorado Springs cost 12% more than the national median of $443,255.
- Rent in Colorado Springs runs 55% lower than the U.S. median of $2,200/mo.
- Homes in Colorado Springs cost 13% less than the Colorado median of $575,000.
What the numbers say
At 0.40% on a $498,000 median home, property tax in Colorado Springs works out to roughly $166 a month ($1,992 a year). It is the largest owning cost with no renting equivalent, so factor it in before you compare.
On the renting side, the figure to beat is $995 a month, or $11,940 a year. With appreciation near 7.5% a year, Colorado Springs sits close to the long-run norm, so the calculator's conservative 3 to 3.5% anchor lines up with recent local experience.
For insurance we use the Colorado average, $2,700 a year, until you can drop in an actual quote for a specific home.
What makes the rent-vs-buy math different in Colorado Springs
Colorado Springs's price-to-rent ratio is about 41.7: the $498,000 median price divided by $995 a month in rent over a year. That is a high ratio, where renting frequently costs less each month and the buy case rests on a long hold plus price growth. That ratio is a useful shortcut, not the whole answer. It points to which side leads at the start, then the full calculation fills in the rest.
With a high ratio, owning in Colorado Springs usually costs more each month than renting for the early years, maintenance aside. The gap closes only as you pay down the loan and prices rise, so the real question is how long you plan to stay.
A handful of Colorado Springs particulars matter once you look past the ratio alone. Schriever Space Force Base says it is home to 8,000 military and civilian employees and indirectly contributes an estimated $1.3 billion annually to the local area. Source. The 2024 ACS profile puts the Colorado Springs metro at 777,635 residents. Source.
Home Purchase
Enter details about the home you're considering buying
Renting
Enter details about your rental alternative
Time Horizon & Market
Detailed mode adds 17 more inputs including advanced assumptions.
Buying is cheaper over 7 years
by $31,485
Buying comes out ahead, though the margin is meaningful only if you stay the full term and your assumptions hold roughly true.
The result is robust across small changes to your inputs.
Total cost of buying
$387,138
Average $4,609 per month over 7 years
Total cost of renting
$207,949
Average $2,476 per month over 7 years
Equity Built
$245,691
What you've paid down on the loan principal over 7 years.
Net Sale Proceeds
$211,339
What you'd walk away with after selling, minus closing costs.
Investment Growth
$65,204
What the down payment could grow to if invested instead of used to buy.
This chart shows total dollars spent on each path, month by month. With your inputs and time horizon, renting stays ahead the entire time.
Frequently Asked Questions
By Barron Hansen, Founder · Last reviewed