When choosing between an apartment or house in Franklin, TN, it’s important to consider not just the monthly rent or mortgage, but also the differences in utilities, maintenance, and lifestyle. Let’s take a closer look at the cost of living in an apartment vs a house in this popular Nashville suburb.
Renting vs. Owning in Franklin: What You’ll Pay
In Franklin, the average rent for a 2-bedroom apartment is around $1,800 per month, while a 3-bedroom house typically rents for closer to $2,450 per month. The median rent for a 3BR house in Franklin is $2,395/month. However, these are just averages – you can find more affordable apartment options in neighborhoods like Fieldstone Farms or Falcon Creek.
If you’re considering buying a home in Franklin instead of renting, expect to pay significantly more upfront in the form of a down payment and closing costs. However, with a fixed-rate mortgage, your monthly housing costs will remain relatively stable over time, unlike rent which tends to increase each year. The median home price in Franklin is $645,000, which translates to a monthly mortgage payment of around $3,200 (assuming a 20% down payment and 3.5% interest rate).
One important factor to consider as a homeowner is the additional monthly costs like property taxes, homeowners insurance, and HOA fees. In Franklin, the average property tax rate is 2.21%, adding about $1,200 per month to the cost of a median-priced home. Many neighborhoods also have mandatory HOA fees ranging from $200-500+ per month.
Table: Cost Comparison – Apartment vs House
Here’s a side-by-side breakdown of common monthly costs for renting an apartment vs owning a house in Franklin:
| Expense | 2BR Apartment | 3BR House |
|---|---|---|
| Rent/Mortgage | $1,800 | $3,200 |
| Utilities | $180 | $320 |
| Internet | $65 | $65 |
| Insurance | $15 (renters) | $100 |
| Maintenance | $0 | $250 |
| HOA | $0 | $350 |
| Property Tax | $0 | $1,200 |
| Total | $2,060 | $5,485 |
Estimates are for mid-range units with typical usage and a gross monthly household income of $6,000 (pre-tax). See our guide to average monthly expenses in Franklin, TN for more details.
Utility and Upkeep Differences
In addition to the base rent or mortgage cost, utilities and maintenance expenses can vary significantly between apartments and houses:
- Electricity/Gas: Houses in Franklin typically have higher energy bills, since they have more space to heat and cool. Expect to pay around $150/month for an apartment vs $250/month for a house.
- Water: Most apartments include water in the rent, while homeowners pay their own water bills, adding $50-100/month.
- Trash: Trash pickup is often included in apartment rent or HOA fees, but house owners usually pay separately, around $20-30/month.
- Maintenance: Owning a home means you’re responsible for all repairs and upkeep costs like lawn care, pest control, HVAC maintenance, etc. Homeowners should budget at least 1-2% of their home’s value annually for maintenance.
Lifestyle Tradeoffs
Of course, the decision between renting an apartment or buying a house isn’t just about money. There are also important lifestyle factors to consider:
Apartments are often located closer to downtown areas and may offer more walkability and easier access to dining, shopping and entertainment. However, you’ll have less space and privacy, and may have to deal with noisy neighbors or restrictions on pets.
Houses provide more room to spread out, private outdoor space, and the freedom to customize your living space. They’re a better fit for many families and pet owners. However, houses typically mean a longer commute, more yardwork and upkeep, and less flexibility to move.
Ultimately, the right choice depends on your budget, lifestyle, and long-term goals. Many young professionals in Franklin choose apartments for the convenience and flexibility, while families often prefer the stability and space offered by a house in the suburbs.
Which Is Cheaper Long Term in Franklin?
While renting an apartment is cheaper on a monthly basis, buying a house in Franklin could be the better financial move long-term. Let’s compare the 5-year cost of renting a 2BR apartment vs. buying a median-priced house:
- Option 1: Renting for 5 Years
- Monthly rent: $1,800
- Annual rent increase: 3%
- Total rent paid over 5 years: $117,000
- Option 2: Buying a $645K House
- Down payment: $129,000
- Monthly mortgage: $3,200
- Monthly property tax and insurance: $1,300
- Total payments over 5 years: $270,000
- Estimated home value after 5 years: $740,000
- Equity gained (excluding closing costs): $95,000
The longer you plan to stay in Franklin, the more financial sense it makes to buy a home. Even though the monthly payments are higher, you’ll be building equity instead of paying rent to a landlord. Of course, this assumes home values continue to appreciate over time.
FAQs About Housing Costs in Franklin
How much more does a house cost per month compared to an apartment in Franklin?
On average, expect to pay about $3,400 more per month for a 3BR house compared to a 2BR apartment, when you factor in the higher mortgage payments, property taxes, insurance, and maintenance costs.
Do houses always have higher utility bills than apartments?
In most cases, yes. Houses have more square footage to heat and cool, and you’ll be responsible for more utility costs that are often included in apartment rent, like trash and water. The average house in Franklin spends $320/month on utilities, compared to $180/month for an apartment.
I’m planning to rent in Franklin. Are apartments always cheaper, even with pet rent and parking fees?
While some apartments charge extra monthly fees for pets ($25-50) or parking/garages ($50-150), it’s still usually cheaper than renting a house when you consider the additional utility and upkeep costs. However, if you need more space for a large pet or multiple vehicles, a house may start to make more sense.
Making the Right Housing Choice in Franklin
As you can see, the cost difference between renting an apartment and owning a house in Franklin is significant – about $3,400 more per month on average for a 3BR house compared to a 2BR apartment. Renting is more affordable month-to-month, but buying can be a smart investment long-term.
Ultimately, the right choice depends on your personal budget, lifestyle priorities, and how long you plan to stay in the area. Be sure to consider the full picture of monthly expenses and property taxes and HOA fees as you weigh your options. If you’re not sure how much you can afford, start by creating a realistic monthly budget based on your income and expenses.