Owning is Much More Affordable Than Renting
February 11, 2022
Homes are still selling on the market super fast. The prices are also still on the rise. While there are also signs of mortgage rates rising this year do not let any of these facts deter you from following your home ownership dreams. Because at the end of the day owning your own home is still much more affordable and makes way more sense than renting.
According to, the 2022 Rental Affordability Report:
“. . . Owning a median-priced home is more affordable than the average rent on a three-bedroom property in 666, or 58 percent, of the 1,154 U.S. counties analyzed for the report. That means major home ownership expenses consume a smaller portion of average local wages than renting.”
So what does this mean for you? While it is true that mortgage rates are likely on the rise in 2022 as well as home prices are at record highs, so are rental rates. Landlords have used this crazy real estate market to truly maximize the amount they can get off their rental properties in the last year or two. They are still continuing to raise rent pricing to compete with the market. So just like homes sale pricing, rental pricing is skyrocketing. At the end of the day what makes better sense for you in the long run; giving someone else money to pay for their mortgage and build equity or use that same amount of money to build your own equity and invest in your future?
Let’s not forget that a landlord can raise a rental price anytime he or she wants to, while a fixed mortgage rate cannot and will not increase over time. The longer you pay your mortgage the more equity you build in your home and the more net worth YOU have. So, stop and ask yourself these questions before you decide to hit pause on your home search: If my rent goes up again in the next year am I going to be able to afford it or be okay with it? If I am going to pay X amount on a house anyway, why would I not want it to be an investment in me? In 5 years would I rather have a place of my own or still be paying someone else’s mortgage with my monthly rent payments?
Here is the bottom line friends. Is renting a home really worth it anymore? Even in this market it seems to make so much more sense to buy a home than to continue to basically throw money out the window each month. Call me today to let me get started working for you! I want to be YOUR realtor!