Buying Is Now 33.1% Cheaper Than Renting in the US

The updated numbers actually show that the range is an average of 3.5% less expensive in San Jose (CA), all the way up to 50.1% less expensive in Baton Rouge (LA), and 33.1% nationwide!

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.
  • With rents & home values moving in tandem, shifts in the ‘rent vs. buy’ decision are largely driven by changes in mortgage interest rates.
  • Nationally, rates would have to reach 9.1%, a 128% increase over today’s average of 4.0%, for renting to be cheaper than buying. Rates haven’t been that high since January of 1995, according to Freddie Mac.

BOTTOM LINE

Buying a home makes sense socially and financially. If you are one of the many renters out there who would like to evaluate your ability to buy this year, let’s get together to find your dream home.


1aa018fa 46bd 4bc7 8d24 98a0f8f999b1 5c6eecc2 a857 4604 9441 e2a147251e47 4e968242 274f 4672 a1d7 1f86c8014fbb 5af45426 0a19 46b6 9579 fd9462f21dbd c7e8b3e7 d639 4ff7 94c3 c87a0813c519 c233cc24 3840 43f2 a8d3 94a10ccff798 d10eb64a bd8c 428e af35 bbc177078653 5db3130a cab2 41c4 8503 2b3ed38c8704 6bcace3d 56d7 42ec b6b1 eb4c06688f20 86718f46 7437 42f0 a38e e5c7e79c2930 d05399d6 0feb 4325 99b9 143e1b772875 86d42648 f374 441f 9540 6988fc08d30b ff7c4b4d 203e 46fb 9279 f92d83a241b3 02737294 5fc0 4a05 bd2a cb791a91c5bb 9d637442 6b93 4e86 ae88 f6e99c1580d7 f9cdfdda 8767 4657 9361 4db5603ddbce 0cd15856 7c71 4fb2 9c97 93cf8e455041 7b08d57f a4f9 4b10 8765 13145d928205 7a117087 099c 45a2 86b6 410699b4e779 a0e2ccf1 c8d9 4a6c b38c d9721a127479 41b5b629 3394 47d7 a837 bf312fc52484 6667e439 f3a8 4ea7 a88a 9e70776a64c3 a9289715 d8d5 42fa a3f0 1e684bdab33f