Buying a Home Remains 35% Less Expensive than Renting!

In the latest Rent vs. Buy Report from Trulia, they explained that homeownership remains cheaper than renting with a traditional 30-year fixed rate mortgage throughout the 100 largest metro areas in the United States.

The updated numbers actually show that the range is from an average of 16% in Honolulu (HI), all the way to 55% in Sarasota (FL), and 35% Nationwide!

THE OTHER INTERESTING FINDINGS IN THE REPORT INCLUDE:

  • Interest rates have remained low and even though home prices have appreciated around the country, they haven’t greatly outpaced rental appreciation. “In the past year, these two trends have made homeownership even more affordable compared with renting.”
  • Some markets might tip in favor of renting if home prices increase at a greater rate than rents and if – as most economists expect – mortgage rates rise, due to the strengthening economy.
  • Nationally, rates would have to rise to 10.6% for renting to be cheaper than buying – and rates haven’t been that high since 1989.  

BOTTOM LINE

Buying a home makes sense socially and financially. Rents are predicted to increase substantially in the next year, lock in your housing cost with a mortgage payment now.


060c2140 4334 4b51 afd5 9e652837a8d7 fe20863c f8ef 4387 bba4 e5f180ba5dde 3156ccc0 7b0d 4843 a2e3 b259924c8d55 6c2e9d7d 5dd4 44ce 8346 bb3c731f0bb7 615ce133 a51d 42ba a94a 0e0dd8d11238 5064fbf0 703e 4c6a 848b 70eb5e99fa72 fb4e75b3 1291 4e02 8e6a ecf46bb332a8 bbd06d83 cfd1 49a7 894e 8b21b6652029 67fff606 1881 4052 a652 2beb099a8821 8cb499da 6ced 4f3f b3eb 22954a6371e2 c4544d38 adc8 4138 9845 8dbe09440113 1bf42f94 9edd 4fe9 98c6 6b64a25393bc 8e84562e dae0 4e5f a8f8 d58c6acd4d49 659de07b a080 43b6 8760 8e3d9746ad06 472386c8 de26 4789 b45e 9cacd921143c 188dbd18 7289 48ac b6bc 0f60aaa2e637 6fb5f378 84cd 4f5d 9f68 2a4d91b4d180 29693662 8fee 4fdb 862f a0c45470f3b2 54467401 7a4d 4661 a67d 51805e6975a0 ebb4f8c0 e10f 46e6 8a51 5df0ea98baec 87dff1d8 dfad 4ab9 b8dd 4441da1e04de b9180c34 24ea 4fe5 a904 2cac2eb3e009 bf97fdcc 58e8 4afa be60 66dd5af7e6cd