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Rent vs Buy in Montgomery, AL

Pre-filled with 2026 median data for Montgomery. Adjust any number to match your situation.

Median Home Price

$165,000

Median Rent/Month

$1,100

Property Tax Rate

0.41%/yr

Avg Appreciation

2.0%/yr

Adjust Your Numbers

$165,000
20% ($33,000)
$1,100
7.0%
7 years

Is It Worth Buying a Home in Montgomery, AL?

The decision to rent or buy in Montgomery, Alabama depends on how long you plan to stay, your down payment, and current mortgage rates. With a median home price of $165,000 and median monthly rent of $1,100, the math plays out differently depending on your personal situation.

Montgomery has an average property tax rate of 0.41% annually, which adds approximately $56/month to the cost of homeownership on a median-priced home.

Historically, home values in Montgomery have appreciated at roughly 2.0% per year, which works in favor of buyers who plan to stay long-term. Use the calculator above to find your personal break-even point.

Key Factors for Montgomery Buyers

  • Down payment of 20% on a median home = $33,000
  • Monthly mortgage (30yr at 6.99%) ≈ $877/mo
  • Property tax ≈ $56/mo
  • Estimated maintenance ≈ $138/mo