Rent vs Buy in San Diego, CA
At a median listing price of $939,450, San Diego sits near the top of the national price range. The size of the check means the down payment and your time horizon matter more here than in almost any cheaper market.
With rent averaging $2,180 a month, San Diego'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 San Diego compares
- Homes in San Diego cost 112% more than the national median of $443,255.
- Rent in San Diego runs roughly in line with the U.S. median of $2,200/mo.
- Homes in San Diego cost 25% more than the California median of $749,450.
What the numbers say
High as prices are, San Diego keeps the property tax rate relatively light at 0.68%. On a $939,450 home that works out to roughly $532 a month ($6,388 a year), trimming a steep carrying cost without making it cheap.
The renting side starts at $2,180 a month, roughly $26,160 over a year. Recent home-price appreciation in San Diego has run hot, near 8.5% a year. We still model the long-run national average of 3 to 3.5% in the calculator, because counting on an unusually strong run to continue is how short-stay buyers get burned.
Insurance here defaults to the California statewide average of $1,300 a year, a placeholder to replace with a real quote.
Where the San Diego rent-vs-buy math stands out
San Diego's price-to-rent ratio is about 35.9: the $939,450 median price divided by $2,180 a month in rent over a year. That is a high ratio, signaling that renting often wins monthly while buying depends on a long hold and price growth to catch up. The ratio is the fastest gut check on a market. It does not replace the full calculation, but it tells you which side of the decision starts ahead.
Because the ratio is high, the monthly cost of owning in San Diego typically exceeds rent for the first several years, even before maintenance. Buying catches up only as the loan amortizes and the home appreciates, so the honest question is whether you will hold long enough for that crossover to arrive.
A handful of San Diego particulars matter once you look past the ratio alone. Census ACS 2024 data put median household income at $109,132 with poverty at 10.0% and per-capita income of $53,674. Source. SANDAG reported that 3,991 accessory dwelling units were permitted in the San Diego region in 2024, equal to 27% of all housing permits issued that year. 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