Even though asking home prices rose 7.0% in the last year, outpacing rent increases of 3.2%, the gap between buying and renting has narrowed only slightly. One year ago, buying was 46% cheaper than renting. Todayâ€™s itâ€™s 44% cheaper to buy versus rent. In fact, homeownership is cheaper than renting in all of Americaâ€™s 100 largest metros. Thatâ€™s because falling mortgage rates have kept buying almost as affordable, relative to renting, as it was last year.Â
Of course, it's not the same in all metros. Buying is cheaper than renting in all 100 metros, but in San Francisco, Honolulu, San Jose and New York, it's a closer call. In other metros, it's a no brainer. Buying is MUCH, much cheaper than renting.Â
Let's look at some great homes that are cheaper to buy than rent!