Real Estate

It is cheaper to rent than own in every US state

  • Last Updated:
  • Apr 10th, 2017 2:50 pm
[OP]
Banned
Nov 18, 2014
824 posts
769 upvotes
Toronto, ON

It is cheaper to rent than own in every US state

http://www.cnbc.com/2017/04/07/heres-ho ... state.html
Owning a home is often considered the American dream — and it's an expensive one. Homeowners in all 50 states and Washington, D.C., pay from 33% to 93% more for housing each month than do renters living in the same state, according to a new NerdWallet analysis.
I doubt it is any different in Canada (especially Vancouver and toronto), unless it's "different here this time" (TM). I guess once the speculators run, the prices will crash? Or are prices here justified because of "new paradigm"?
4 replies
Deal Fanatic
User avatar
May 11, 2008
9433 posts
470 upvotes
rkanwar109 wrote: http://www.cnbc.com/2017/04/07/heres-ho ... state.html



I doubt it is any different in Canada (especially Vancouver and toronto), unless it's "different here this time" (TM). I guess once the speculators run, the prices will crash? Or are prices here justified because of "new paradigm"?
Median gross rent includes the costs of monthly rent and utilities for all kinds of rental properties, and median homeownership cost includes monthly mortgage payments, real estate taxes, insurance and utilities.
Did you really need a study to show this?
Mortgage payments include a principle portion. Comparing only 1month/year will obviously show rent is lower.
Why don't renters have insurance in their calculation?
These don't seem to take into account type of housing. The smaller the place, the lower the costs associated with it. Rent for a 1 br condo would definitely be cheaper than a mortgage on a 4 br house.

So not exactly sure what this article is trying to say other than the obvious
Deal Fanatic
Dec 5, 2009
5353 posts
3133 upvotes
The article focuses on medians, and spans the entire US. Your median rental is probably a one or two bedroom apartment. Your median owned home is probably a 2000 sq foot house. Then add in regional variations. So it's apples to watermelons in that study, and also has nothing at all to do with the GTA or GVA housing bubbles.

If you want to argue that renting an average 2 bedroom apartment is cheaper than owning an average 2000 sq foot home, that's fine. I doubt anyone would disagree.

If you want to argue that renting is cheaper than owning in the GTA that's also fine but that artcle adds nothing to the discussion.
Sr. Member
Oct 9, 2011
605 posts
310 upvotes
EAST YORK
Why does this guy make an anti-RE post every day? Enough of this garbage, low-effort trolling
Deal Addict
Aug 12, 2004
4288 posts
1816 upvotes
Calgary
baddoctor wrote: Why does this guy make an anti-RE post every day? Enough of this garbage, low-effort trolling
Yes. If history is to repeat itself, soon enough he will start posting heat maps and get more incoherent as time flies by.

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