Considering buying or renting? The results of the 2018 Rental Affordability Report from ATTOM show that buying a median-priced home is cheaper over time than renting a three-bedroom property in 54% of U.S. counties analyzed for the report. Why not own your dream home?
The updated numbers show that renting a three-bedroom property in the United States requires an average of 38.8% of income.
The least affordable market for renting was Marin County, CA, just over the Golden Gate Bridge from San Francisco, where renters spend a staggering 79.5% of average wages on rent, while the most affordable market was Madison County, AL where 22.3% of average wages went to rent.
Other interesting findings in the report include:
- Average rent rose faster than income in 60% of counties
- Average rent rose faster than median home prices in 41% of counties
- While median home prices rose faster than average rents in 58% of counties
Bottom Line
Buying a home makes sense socially and financially rather than renting and paying for someone else’s mortgage. While renting can act as a stepping stone for some, it’s not the best option in the long term. 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.
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