Buying a home still beats renting in all 100 large U.S. metros, according to a new Rent vs. Buy Report from Trulia. In fact, in Chicago it is 47 percent cheaper to buy a home compared to renting while in St. Louis, it is 54 percent cheaper to buy.
In a blog post, Trulia Chief Economist Jed Kolko said that even though home prices have been rising around the country, low mortgage rates have kept homeownership affordable. Mortgage rates would have to rise substantially before renting would be cheaper in most markets, he said.
“Nationally, rates would have to rise to 10.6 percent for renting to be cheaper than buying – and rates haven’t been that high since 1989.” Kolko said.
Mortgage rates rise slightly – Chicago Tribune
4 game changers for selling homes this tax season – HousingWire
U.S. sales of new homes up in January – Daily Herald