Currently Reading

Areas Where It's More Affordable to Buy Than Rent

Advertisement
Housing Markets

Areas Where It's More Affordable to Buy Than Rent


January 20, 2021
New homeowners receiving keys
Photo: hedgehog94

In the majority of U.S. counties, it is more affordable to own a home than rent one. This data comes from ATTOM Data Solutions’ 2021 Rental Affordability Report, which found that in 63% of the 915 counties analyzed it is easier to afford a median-priced three-bedroom home by owning rather than renting. ATTOM reviewed fair market rent data, wage data, and public record sales deed data to reach its conclusions. Fortune reports that buying remains more affordable although median home prices have continued to increase much more than rents, and even home prices are rising faster than wages. But in highly populated metropolitan areas, it is cheaper to rent.

Meanwhile, demand for homes—driven in part by stir-crazy city dwellers moving to the suburbs to seek more space amid the pandemic—continues to outpace supply. For the four weeks ending Jan. 10, according to the National Association of Realtors, the number of contracts signed was up 15% across the U.S. compared to a year ago and the number of active listings was down 34%.

Buyers in big cities face a different choice than their counterparts in rural or suburban areas, however. According to ATTOM's analysis, renting is now more affordable than buying in 18 of the 25 most populous counties in the U.S. The same is true in 29 of the 44 counties with a population of 1 million people are more. The list of cities where renting is a better deal than buying includes Boston, Chicago, Los Angeles, San Francisco, Seattle, and the boroughs of Manhattan and Brooklyn in New York City.

Read More
 

Related Stories

Housing Markets

Denver Listings Gone in Five Days with Inventory at Record Low

The Denver metro area has consistently averaged 13,531 active listings by the end of February since 1985. By the end of February 2021, there were…

Market Data + Trends

Does it Make More Sense to Rent or Buy in Your Market?

Rents in urban areas have dropped as a result of the pandemic, but even so, buying makes the most sense in these 10 metros, says Realtor.com.…

Regional Builders

Ryan Cantrell and the Art of Tier 3 Market Dominance

Learn how and why Ryan Cantrell from Trendsetter Homes, a production builder in…

Advertisement
Advertisement

More in Category




Advertisement
Advertisement

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.


Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Subscribe
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.