Owning Costs More Than Renting
New analysis from CNBC, based on Census survey data, shows that homeowners spend more than renters each month on housing costs.
Additionally, the ranking shows the monthly dollar difference between renting and homeownership. In New Jersey, the gap is widest at $1,100. In Arkansas, it's $300. New Jersey also had the highest median monthly housing cost for homeowners with a mortgage in the study: $2,398. California had the highest median rental cost per month, $1,358, while West Virginia had the lowest rental and homeowner costs, $681 and $997, respectively, HousingWire reports.
“Owning is more expensive than renting because owners need to cover related costs such as maintenance, property taxes, repairs and insurance, in addition to handling their monthly mortgage payments, and those keep rising,” the article asserts, quoting a CNBC report that states the cost of owning a home has risen 14 percent in the last year. “And, once the mortgage is paid off, you've eliminated a major monthly expense and you can put that money toward other financial goals,” it concludes.