Zillow Says U.S. Households Need 14.7 Years to Break Even on Home Purchase
Updated
Updated · PR Newswire · Aug 20
Zillow Says U.S. Households Need 14.7 Years to Break Even on Home Purchase
2 articles · Updated · PR Newswire · Aug 20
Summary
A typical U.S. household needs 8.5 years to save a 20% down payment and another 6.2 years for buying to beat renting, Zillow said in an analysis based on July 2026 market conditions.
San Jose has the longest combined timeline at 49.2 years, while Memphis is shortest at 10.9 years, showing how local prices and rents sharply change the rent-versus-buy math.
Austin illustrates that split: households can save for a down payment in about 8 years, but then need 18.1 more years to break even because rents there have fallen and remain relatively affordable.
Buying a starter home cuts the national timeline to 7.2 years, though Zillow said buyers still face repair risks and a market where turnkey homes command premiums.
The nationwide timeline was 11 years in July 2019; Zillow ties the deterioration to a 4.7 million-home shortage and argues for zoning, permitting and manufactured-housing reforms.