A10F03B49704A9555CB18D6BD506641C

Buying Is Now 377 Cheaper Than Renting In The US

Dated: 11/01/2016

Views: 67

Buying is Now 37.7% Cheaper Than Renting in the US | Keeping Current Matters

The results of the latest Rent vs. Buy Report from Trulia show 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 17.4% less expensive in Honolulu (HI), all the way up to 53.2% less expensive in Miami & West Palm Beach (FL), and 37.7% 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.

  • Home prices would have to appreciate by a range of over 23% in Honolulu (HI), up to over 45% in Ventura County (CA), to reach the tipping point of renting being less expensive than buying.

  • Nationally, rates would have to reach 9.1%, a 145% increase over today’s average of 3.7%, 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, meet with a local real estate professional who can help you find your dream home.

Blog author image

Thad McIntyre

Thad McIntyre, Broker/Owner of PowerMark Properties, is a high-energy and dedicated Realtor who believes it is his duty to give back to the community on both the professional and personal level. Thad ....

Latest Blog Posts

How To Decorate For Fall On A Budget

I had fully intended on sharing a great before and after with y’all today, but sometimes life happens.  It looks like I’ve got a case of the sickies to start off the week.  So I’ll

Read More

11 Mortifying Home Buyer Behaviors That Make Real Estate Agents Cringe By Cathie Ericson Aug 3

11 Home Buyer Behaviors That Make Real Estate Agents Cringe | realtor.com® 11 Mortifying Home Buyer Behaviors That Make Real Estate Agents Cringe By Cathie Ericson |

Read More

A Dictionary For Home Buyers

Mortgage Terms Explained, From ARMs to PointsBy Laura Winter | Jan 4, 2016 PeskyMonkey/iStock.comMortgage terms are like most industry terms: confusing as heck if you're not in the

Read More

Top 5 Reasons To Sell This Fall

5 Reasons You Should Sell This Fall!800SHARES63553271372Here are five reasons why listing your home for sale this fall makes sense.1. Demand Is StrongThe latest Buyer Traffic Report from

Read More