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!
A recent study by GoBankingRates looked at the cost of renting vs. owing a home at the state level and concluded that in 36 states it is actually ‘a little’ or ‘a lot’ cheaper to own, represented by the two shades of blue in the map below.
One of the main reasons that owning a home has remained significantly cheaper than renting is the fact that interest rates have remained at or near historic lows. Freddie Macreports that rates fell again last week to 3.43%.
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.
Buying a home makes sense socially and financially. If you are one of the many renters who would like to evaluate your ability to buy this year, let’s get together and find you your dream home.
Author:Julie Baldino - Owner-Managing Broker Phone: 360-910-3586 Dated: October 12th 2016 Views: 109 About Julie Baldino: Julie Baldino is a seasoned veteran of the Pacific Northwest real estate industry, and has consisten...
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The National Association of Realtors’ most recent Existing Home Sal
"Stephanie has helped us buy two homes in Vancouver in the last 5 years. We really appreciate her level of communication and understanding of our needs. She has great knowledge of the process and perfect contacts to help you in almost any situation. In short we will use her as our agent until we leave the area."