Renting vs. Buying Near Fort Knox — A Military Decision Guide

Rent or buy? It's one of the first questions every military family faces during a PCS. The answer depends on your tour length, financial situation, and personal preferences — but the Elizabethtown market's affordability makes buying more viable here than at many installations.

The General Rule

• 3+ years at Fort Knox: Buying usually makes financial sense
• 2-3 years: Buying can work, depending on the market and your financial situation
• Under 2 years: Renting is usually the safer choice

These are guidelines, not rules. Your personal situation — savings, credit, family needs, and career plans — should drive the decision.

The Case for Buying

• Build equity: Every mortgage payment builds ownership. Rent builds someone else's wealth.
• BAH coverage: In E-town, BAH for E-5 and above typically covers a full mortgage payment with taxes and insurance. You're essentially getting free housing AND building equity.
• Appreciation: Hardin County home values have appreciated 3-5% annually in recent years. On a $250K home, that's $7,500-$12,500 in equity growth per year.
• VA loan advantage: VA loans offer 0% down and no PMI, reducing the upfront cost of buying significantly.
• Investment potential: When you PCS, you can rent the home to the next military family — Fort Knox ensures steady rental demand.

The Case for Renting

• Flexibility: Lease termination under SCRA is simple with PCS orders
• No maintenance costs: Repairs are the landlord's problem
• No closing costs: Buying involves $3,000-$8,000 in closing costs that take time to recoup
• No selling pressure: No need to worry about the market when you leave

Break-Even Analysis for Elizabethtown

Assuming typical closing costs, appreciation rates, and transaction costs for selling, most buyers in the E-town market break even in approximately 2.5-3 years. After that point, the equity building and appreciation outpace the costs of buying and eventually selling. This means a standard 3-year tour at Fort Knox puts you in a favorable position to come out ahead by buying.

The Rental Market

If renting is the right choice for you, the Elizabethtown rental market offers reasonable options:

• 2BR apartment: $950-$1,150/month
• 3BR single-family rental: $1,150-$1,400/month
• Most landlords in the area are familiar with military leases and SCRA provisions