Renting vs. Owning in North Las Vegas: What You’ll Pay
When comparing the cost of living in an apartment vs house in North Las Vegas, the first factor to consider is monthly housing costs. The average rent for a 2-bedroom apartment in North Las Vegas is around $1,350 per month, while the average rent for a 3-bedroom house is $1,950 per month. Of course, this can vary based on location, age of the property, and amenities.
Owning a home comes with additional costs like property taxes, homeowners insurance, and private mortgage insurance (PMI) if your down payment is less than 20%. According to Zillow, the median home value in North Las Vegas is $405,000 as of early 2023. With a 30-year fixed mortgage at 6.5% interest and 10% down, the monthly mortgage payment would be around $2,300 before taxes and insurance.
It’s important to factor in the full cost of ownership, not just the mortgage, when comparing to renting. Homeowners in North Las Vegas pay an average of $1,700 per year in property taxes. Understanding property tax and HOA fees is crucial for budgeting as a homeowner.
Cost Comparison – Apartment vs House
Here’s a side-by-side breakdown of common monthly costs in North Las Vegas:
| Expense | 2BR Apartment | 3BR House |
|---|---|---|
| Rent/Mortgage | $1,350 | $2,300 |
| Utilities | $180 | $290 |
| Internet | $65 | $65 |
| Insurance | $15 (renters) | $80 (homeowners) |
| Maintenance | $0 | $150 |
| HOA | $0 | $50 |
| Total | $1,610 | $2,935 |
Estimates are for mid-range units with typical usage
As shown, the total monthly cost for a house is about $1,325 higher than renting an apartment, due to the higher mortgage payment and additional expenses like maintenance, insurance, and HOA fees. However, these are averages and actual costs can vary significantly.
Utility and Upkeep Differences
In addition to the base housing cost, utility expenses tend to be higher in a single-family home compared to an apartment. Some factors that impact this:
- Houses have more square footage to heat and cool
- Older homes may have less efficient HVAC systems and insulation
- Water bills are higher with more bathrooms and outdoor irrigation
- Houses often have more lighting and appliances, increasing electric bills
In North Las Vegas, many homes use swamp coolers which can help reduce A/C bills in the summer compared to central air. Upgrading to energy-efficient appliances and windows can also make a difference.
Maintenance and repairs are another key difference. In an apartment, most interior upkeep is the landlord’s responsibility. Homeowners need to budget for things like servicing the HVAC, fixing plumbing issues, and maintaining the roof, yard, and appliances.
Lifestyle Tradeoffs
Aside from costs, there are important lifestyle factors to consider with houses vs. apartments. Houses provide more indoor and outdoor space, which is appealing for families or those who want room to spread out. Having a private yard is great for kids, pets, gardening, and entertaining.
However, apartments can offer other benefits like easier maintenance, better amenities, and walkable locations. Many North Las Vegas residents choose apartments for their convenience and proximity to work or the Strip, while families often prefer houses for the extra space and privacy.
Noise levels, parking access, pet policies, and commute times are other lifestyle considerations. It’s a personal decision based on your budget, family size, and priorities.
Which Is Cheaper Long Term in North Las Vegas?
While renting is cheaper than owning on a monthly basis, homeownership can be more cost-effective long term. Let’s compare the total cost of renting a $1,350 apartment vs. buying a $405,000 house over 5 years, assuming 2% annual rent increases and a 6.5% mortgage rate.
The total cost to rent would be around $88,500 over 5 years, factoring in utilities and renters insurance. Assuming a 10% down payment, the total cost of owning, including mortgage, taxes, insurance, maintenance, and utilities, would be $196,500.
However, $61,500 of the ownership cost would go towards paying down the mortgage principal. Factoring in 3% annual appreciation, the house would be worth $469,000 after 5 years. So the effective cost of ownership is more like $135,000 – about $46,500 more than renting.
The longer you own the home, the more equity you’ll build through appreciation and paying down the mortgage. In the long run, owning can be cheaper than renting, but it depends on your timeframe and how much the home’s value increases.
FAQs About Housing Costs in North Las Vegas
How much more does a house cost per month?
On average, a house in North Las Vegas costs about $1,325 more per month than renting an apartment when you factor in the full cost of ownership.
Do houses come with higher utility bills?
Yes, houses typically have higher utility costs than apartments since they have more space to heat and cool, more water usage, and sometimes older systems and appliances.
Are apartments cheaper even with pet fees?
Usually, yes. Even with a pet rent of $50/month, apartments are still significantly cheaper than houses when you factor in all the expenses. However, houses offer more space for pets.
Making the Right Housing Choice in North Las Vegas
Ultimately, the decision of whether to rent an apartment or buy a house in North Las Vegas depends on your unique situation. Renting is cheaper in the short term, offers more flexibility and convenience, and frees you from maintenance and repair costs. Owning provides more stability, space, and privacy, and can be a better financial move long-term.
Be sure to consider the full monthly cost, not just rent vs. mortgage, as well as your lifestyle needs and how long you plan to stay in the home. Creating a realistic monthly budget can help you determine what you can comfortably afford and guide your housing choice.