1 month ago
Renting has go nan more affordable option successful metros crossed nan U.S. arsenic owe rates and location prices stay elevated, according to a caller study from Realtor.com.
The information showed that nan monthly costs for a starter location successful nan largest 50 metros was astir 60%, astir $1,027, much than nan monthly rent successful those aforesaid markets connected average.
US NEW HOME SALES FALL; MEDIAN PRICE LOWEST IN MORE THAN 2-1/2 YEARS
Realtor.com main economist Danielle Hale noted that nan falling costs of rent is besides contributing to why it has go nan much favorable action successful each 50 metros tracked by nan agency.
For instance, nan U.S. median rent successful February declined twelvemonth complete twelvemonth for nan seventh period successful a row. Prices dipped 0.4% for studios, one-bedroom and two-bedroom properties crossed nan metros, which was akin to nan 0.3% driblet successful January 2024.
A "for rent" motion is posted successful beforehand of a location connected Dec. 12, 2023 successful Miami. (Joe Raedle/Getty Images / Getty Images)
Still, prices are still importantly higher compared to pre-pandemic times. Even pinch nan monthly declines, nan U.S. median rent is only $50 little than its highest successful August 2022. It is besides still 17.3% higher, aliases $252 more, than nan aforesaid play successful 2020, according to Realtor.com's astir caller data.
TO RENT OR TO BUY? WHAT TO CONSIDER WHEN DECIDING BETWEEN A HOUSE OR APARTMENT?
The median rent for 2 bedrooms nationwide was $1,889. That is $65 little than nan highest seen successful August 2022.
"Deciding whether to rent aliases bargain often goes beyond a financial advantage though, and apt depends connected a consumer’s circumstances," Hale said. "Renters often prize elasticity while nan biggest reasons homebuyers mention are that they want a spot of their ain and to beryllium person to family and friends."
A "for rent" motion successful beforehand of a location connected July 12, 2023 successful Miami. (Joe Raedle/Getty Images / Getty Images)
The rumor pinch renting being nan much favorable option, though, is that "it does not bring nan use of housing wealthiness gains complete clip that owning does," Hale continued. She said that this is thing group should see erstwhile reasoning astir their semipermanent lodging plans.
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The apical 10 metros pinch nan largest rent savings erstwhile compared to buying:
- Austin-Round Rock-Georgetown, Texas – $2,165 monthly rent savings (141.5% difference)
- Seattle-Tacoma-Bellevue, Washington – $2,422 (121.1%)
- Phoenix-Mesa-Chandler, Arizona – $1,528 (99%)
- San Francisco-Oakland-Berkeley, California – $2,689 (95.5%)
- Los Angeles-Long Beach-Anaheim, California – $2,539 (89.7%)
- San Jose-Sunnyvale-Santa Clara, California – $2,780 (86.7%)
- Nashville-Davidson-Murfreesboro-Franklin, Tennessee – $1,366 (86%)
- Portland-Vancouver-Hillsboro, Oregon/Washington – $1,396 (84.4%)
- Sacramento-Roseville-Folsom, California – $1,514 (82.1%)
- Houston-The Woodlands-Sugar Land, Texas – $1,103 (80%)
