Tuesday, September 25, 2012

In Buy vs. Rent, Home Buying Wins Again


DAILY REAL ESTATE NEWS | TUESDAY, SEPTEMBER 18, 2012
A new Trulia study shows that owning a home is more affordable than renting over a seven-year time frame in America’s 100 biggest cities. 
Trulia collected data on homes for sale and for rent from its Web site between June 1, 2012 and August 31, 2012, and factored in such items as transaction costs, taxes, and opportunity costs. The study assumes that the home is sold after seven years and includes closing costs, maintenance, insurance, property taxes and other costs. The cost of renting includes security deposit and renters insurance.
Trulia found that nationally, owning is 45 percent cheaper than renting, with affordability highest in Detroit and lowest in Honolulu and San Francisco. 
(c) Copyright 2012 Information, Inc.
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