So, you’re looking at moving and you’re not sure if renting or owning a local Milwaukee WI home is right for you?
You’re not sure if one is a better financial decision than the other?
You’re not sure if you’ll be able to find the type of house or apartment you’d like to live in?
You’re not sure what you can handle financially?
Well this article will dive into ways you can learn how to know if renting or owning a home is right for you in the Milwaukee area.
How To Know If Renting Or Owning A Home Is Right for You in Milwaukee
Throughout the 1950’s-1990’s, home ownership was a major goal of most families across America. Owning a home was the “American Dream” and if you didn’t own your house there was almost this stigma that went with that.
But, that rule has changed in recent years. The economic downturn paired with the bursting of the housing bubble makes renting an attractive option for many Americans… maybe even you.
In the past, the choice to rent or own here in Milwaukee was about whether you’d prefer to live in a house or an apartment. Now, there are opportunities to purchase apartments / condos and rent homes, so there are options for renters or perspective owners to live in whatever type of property that they’d prefer.
Renting is great for people who value flexibility. Maybe you’re just starting your career at one of the many growing companies in Milwaukee’s Third Ward or haven’t yet settled on which part of the city suits your lifestyle best — from the artsy vibes of Riverwest to the family-friendly charm of Wauwatosa. Renting gives you the freedom to “test-drive” different neighborhoods without the long-term commitment of a mortgage or the burden of property maintenance. It also makes moving for work or school much simpler, which is especially important for younger professionals or students attending Marquette or UWM.
Owning a home anchors you to one location — which can be a strength or a challenge, depending on your lifestyle. Breaking a mortgage can seriously damage your credit score, and the process of selling a home in Milwaukee, particularly during slower winter months, can take time and come with added costs like realtor fees, staging, and potential price reductions. However, it’s also a pathway to stability. According to the Wisconsin Realtors Association, Milwaukee’s single-family home prices rose by 4.2% year-over-year in early 2025, showing steady (if modest) growth. If you’re planning to stay in one place for 5+ years, homeownership might offer financial benefits over time — especially if you lock in a fixed-rate mortgage while interest rates remain favorable.
In many cases, contrary to popular opinion, it can be more cost-effective to rent than own, especially in situations where the local housing market isn’t going up in value very much each year. While renters pay a fixed amount each month, homeowners are required to pay additional fees, such as homeowners insurance, maintenance, repairs, HOA (local community association fees), amongst others.
It’s not always best to rent, however. Owning a home is still the American dream. You have the right to paint, decorate, and reconfigure your house however you’d like, without the worry of risking your security deposit or upsetting your landlord. It’s the ultimate in freedom when it comes to your house.
Homeownership as an investment. While the housing market has rebounded here locally in Milwaukee WI… the home values aren’t increasing like they were during the build up of the housing bubble (which is a great thing actually)… but another benefit of home ownership is homeowners typically enjoy the potential appreciation of the value of their home.
From 1968-2004, home values grew by approximately 6.4% annually, outpacing inflation (as well as many stocks & other financial instruments). Historically, homeownership has offered solid long-term value. Between 1968 and 2004, U.S. home values increased by an average of 6.4% annually — outpacing inflation and performing competitively with many traditional investments. While not guaranteed, this makes homeownership a potentially strong financial tool — especially when paired with the equity-building effects of consistent mortgage payments.
As a homeowner with a fixed rate mortgage, you enjoy the benefit of inflation protection. For example, if your mortgage payment is $500 each month, you’ll pay that for the duration of your loan. However, the purchasing power of $500 can change significantly over the course of 15, 20, or 30 years. As most people’s income grows over time, a fixed- rate mortgage can eat less and less of your take-home pay each month.
There are many factors to consider when deciding whether to purchase or rent your next home. The key is doing exactly what you’re doing now… learning how to know if renting or owning a home is right for you.
The most important thing is to not take on any payments that you cannot reasonably expect to pay for the entire term of the agreement, whether it be a $600 monthly rent twelve months, or a $550 monthly mortgage for the next 15 years.
Have You Considered Renting To Own A Milwaukee Home?
There is another “hybrid” option to just renting or buying a house.
If you’re dreaming of homeownership but aren’t quite mortgage-ready — whether due to credit challenges, income documentation, or a recent job change — renting to own might be a smart middle-ground. Milwaukee has a growing number of rent-to-own opportunities, especially in up-and-coming neighborhoods like Layton Park and Harambee. These arrangements can help you build equity while you improve your financial profile, but they come with risks too. Be sure to carefully review the terms, as some contracts may require non-refundable deposits or place maintenance responsibilities on the tenant. I always recommend working with a real estate attorney to review any rent-to-own contract before signing. The Wisconsin State Bar also offers helpful resources for renters transitioning to ownership.
Check out the rent to own process here on this website and if you want to get on our list to see Local Milwaukee WI Rent To Own Homes… head over here to see available rent to own homes here in Milwaukee.
See our latest rent-to-own homes by going through the link below!