Real estate agents across the country are pretty excited over Trulia's Rent vs. Buy Index, released for the first quarter, because the report favors homebuying over renting. In 72% of the nation's top 50 cities, Trulia says the price ratios of median list prices to median annual rents are so low that it make more sense to buy.
The top 10 cities that are the hottest markets for home buying vs. renting are Miami, Las Vegas, Arlington, Mesa, Phoenix, Jacksonville, Sacramento, San Antonio, Fresno and El Paso. While the numbers of the median list price and median annual rent bear a relationship to each other, they don't necessarily translate into reality, however. I believe it makes more sense to compare a monthly rental payment to the amount of a mortgage payment, plus taxes, insurance and maintenance reserve.
More Articles by Elizabeth Weintraub:
- Asking Mom and Dad for a Down Payment
- 12 Ways to Find Your Down Payment
- Tips for a First Time Home Buyer
Technorati tag: buying vs renting
At the time of writing, Elizabeth Weintraub, DRE # 00697006, is a Broker-Associate at Lyon Real Estate in Sacramento, California.
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