Owning a Home Still More Affordable Than Renting in Majority of Counties

Despite rising home prices, a recent report shows that in a majority of US counties, purchasing a home is still the more affordable option
Feb. 7, 2025
2 min read
Frank Filippazzo/iStock / Getty Images Plus via Getty Images
Aerial view of homes in Suffolk County, N.Y.
Suffolk County, N.Y., has the largest affordability gap in favor of homeownership. There, average three-bedroom rents require 159% of the local income.

In 2024, rental rates stagnated while home prices continued to increase. Still, when it comes to renting versus owning a single-family home, purchasing a home remains a more affordable option for those who have a down payment to put forward. According to property data provider ATTOM’s 2025 Rental Affordability Report, owning a home is more affordable than renting a three-bedroom property in nearly 60% of all counties in the U.S.

Regionally, owning requires a smaller portion of wages in 80% of counties in the Midwest and 60% of counties in the South. In the northeast, this is true for about half of all counties, but in the West, renting is a more affordable option in 80% of counties.

Among the 341 counties reviewed, the biggest affordability gaps in favor of home ownership are in Suffolk County, NY (outside New York City) (major home-ownership expenses on typical homes purchased in 2024 consume 59 percent of average local wages while average three-bedroom rents require 159 percent); Atlantic County (Atlantic City), NJ (48 percent for owning versus 111 percent or renting); Collier County (Naples), FL (79 percent versus 127 percent); Indian River County (Vero Beach), FL (47 percent versus 83 percent) and Charlotte County (Punta Gorda), FL (43 percent versus 69 percent). Read more

 

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