Cost Comparison: Living in a House vs Apartment in Evanston

Renting vs. Owning in Evanston: What You’ll Pay

When deciding between renting an apartment or buying a house in Evanston, the cost of living is a key factor to consider. On average, the monthly rent for a 2-bedroom apartment in Evanston is around $1,800. The average rent for a 3-bedroom house in Evanston is $2,450 per month. Of course, these are just averages – actual prices will vary based on the unit’s size, age, location, and amenities.

Buying a house comes with additional monthly expenses beyond the mortgage payment, such as property taxes, insurance, and maintenance costs. These can add hundreds of dollars to the monthly bottom line. Renters have more predictable monthly costs, though they may pay extra for pet rent, parking, or certain utilities.

Table: Cost Comparison – Apartment vs House

Here’s a side-by-side breakdown of common monthly costs in Evanston:

Estimates are for mid-range units with typical usage, expressed as gross monthly costs (pre-tax).

Utility and Upkeep Differences

Houses typically have higher utility costs than apartments due to their larger size. Heating and cooling a multi-level house requires more energy than a one-floor apartment. Houses also tend to have more residents, leading to higher water and electricity usage. Some key differences:

• Water bills are often higher for houses due to lawn irrigation and more occupants
• Older houses may have less efficient HVAC systems and insulation, increasing heating/cooling costs
• Apartments typically include trash service, while homeowners have to pay for private pickup
• Renters are not responsible for maintenance and repairs, a major potential expense for homeowners

Homeowners also have to budget for exterior upkeep like lawn care, snow removal, gutter cleaning, and pressure washing. These tasks can be time-consuming and costly. Many Evanston homes have mature trees that require regular trimming. Apartment dwellers avoid most of these responsibilities and expenses.

Lifestyle Tradeoffs

Choosing between an apartment and a house involves more than just comparing monthly costs. Lifestyle factors play a big role in finding the ideal home. Houses offer more privacy, space for families, private yards for kids and pets, and greater freedom to customize the property. However, they also require more upkeep and typically have longer commutes.

Apartments work well for residents who prioritize convenience and low-maintenance living. They are often located closer to public transit, restaurants, and shopping. Many newer complexes offer amenities like fitness centers and package lockers. However, apartments provide less space, limited privacy, and more noise from neighbors. Pet owners may face breed or size restrictions. Many Evanston residents choose apartments for walkability, while families prefer houses for yard space.

Which Is Cheaper Long Term in Evanston?

While renting is often cheaper than buying on a monthly basis, owning a home can be more cost-effective long-term. Let’s compare the 5-year cost of renting a $1,800 2BR apartment vs. buying a $400,000 3BR house in Evanston (assuming a 30-year mortgage at 3.5% with 10% down).

Over 5 years, the total cost of renting would be approximately $108,000 (excluding renter’s insurance and potential rent increases). Owning the house would cost around $141,000 including the mortgage, property taxes, insurance, maintenance, and HOA fees. That’s a difference of $33,000.

However, $61,000 of the ownership cost goes toward paying down the mortgage principal – building the owner’s equity. Assuming 2% annual appreciation, the house would be worth $441,000 after 5 years. Accounting for equity, the 5-year cost of ownership is closer to $80,000 – about $28,000 less than renting. Of course, this scenario assumes the owner can afford the $40,000 down payment and closing costs.

FAQs About Housing Costs in Evanston

How much more does a house cost per month?
On average, a 3BR house in Evanston costs about $1,200 more per month than a 2BR apartment when you factor in the full cost of ownership – mortgage, taxes, insurance, maintenance, and HOA fees.

Do houses come with higher utility bills?
Yes, houses typically have higher monthly utility costs than apartments. Larger spaces, more residents, lawn watering, and less efficient systems all contribute to bigger bills for owners.

Are apartments cheaper even with pet fees?

For most Evanston residents, apartments are still cheaper than houses even with additional costs like pet rent and parking. However, large dog breeds may incur steeper monthly fees.

Making the Right Housing Choice in Evanston

Deciding between an apartment and a house comes down to your budget, lifestyle priorities, and long-term goals. Renting is generally the more affordable and flexible option, especially for students, young professionals, and those who value amenities. Buying offers more stability, space, and privacy – appealing factors for families and those planning to stay put for a while.

If you’re on the fence, consider working up a detailed monthly budget to compare options. Factor in the full cost of ownership including property taxes and HOA fees. Tour a variety of apartments and houses in your price range to get a sense of what your money can get.

Whether you rent or buy, you’ll find plenty to love about living in Evanston. With a vibrant downtown, beautiful lakefront, top-notch schools, and easy access to Chicago, this North Shore suburb offers an appealing mix of urban convenience and residential charm. Just be sure to choose the housing option that fits your finances and your future plans.