How Much Less is Buying a Home Than Renting?

By
Real Estate Broker/Owner with New York Real Estate Experts

Buying a Home is 36% Less Expensive Than Renting Nationwide! | Keeping Current Matters

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 in the 100 largest metro areas in the United States. The updated numbers actually show that the range is an average of 5% less expensive in Orange County (CA) all the way up to 46% in Houston (TX), and 36% 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.
  • Some markets may 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. If you are one of the many renters out there who would like to evaluate your ability to buy this year, meet with a local real estate professional who can help you find your dream home.

www.NYREEX.com

 

New York Real Estate Experts Facebook

Rummy Dhanoa - Broker with New York Real Estate Experts  

Rummy Dhanoa - Broker with New York Real Estate Experts

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Topic:
Home Buying
Location:
New York Westchester County Yonkers
Groups:
Westchester Real Estate Network (WREN)
Tags:
home buying
buying vs renting
rummy dhanoa
rental in yonkers homes
expert advisor
new york real estate experts
nyreex

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Rainmaker
309,330
Mike Wong
Keller Williams Realty Southwest - Sugar Land, TX
Realtor: Commercial, Residential, Leasing, Invest

Grat post topic. In Houston it makes sense to purchase with rising rent prices, along with investors and developers to continue acquiring properties due to a shortage and rising demand. I'm sure New York is the same. 

Apr 19, 2016 07:16 AM #1
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainmaker
102,319

Rummy Dhanoa

Rummy Dhanoa
Ask me a question
*
*
*
*
Spam prevention