Press release
Realtor.com® July Rental Report: Renting Still Beats Buying in All of the Largest U.S. Metros
Top Three Metros Where Renting Beats Out Buying Include Austin-Round Rock-Georgetown, Texas with a $2120 Monthly Savings, Seattle-Tacoma-Bellevue, Wa. with a
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[{"type":"text","content":"Top Three Metros Where Renting Beats Out Buying Include Austin-Round Rock-Georgetown, Texas with a $2120 Monthly Savings, Seattle-Tacoma-Bellevue, Wa. with a $2,222 Monthly Saving and Los Angeles-Long Beach-Anaheim, Calif. With a $2,784 Monthly Savings \nSANTA CLARA, Calif., Aug. 15, 2024 /PRNewswire/ -- As rents continue to fall in July, all 50 largest U.S. metros favor renting a starter home compared to buying, according to the Realtor.com® Rental Report released today (see full list below). This continues a trend seen in February as elevated mortgage rates, high home prices and falling rents contribute to the over $1,000 savings in renting over buying. At the same time last year, only 47 metros favored renting.\n\n\"For every major U.S. metro, renting a starter home continues to be more affordable than buying a starter home, continuing a trend we saw this February as rents declined and home prices continued to grow,\" said Ralph McLaughlin, senior economist at Realtor.com®. \"However, we are starting to see the advantage of renting over buying decrease across several metros, especially as more affordable inventory hits the market. It has been a challenging time for potential first- time homebuyers, especially as rents have been so favorable, but with mortgage relief finally on the way, we might continue to see the advantage of renting shrink, giving homebuyers a path into their first home.\"\nAdditionally, this July marks the twelfth year-over-year rent decline in a row for 0–2-bedroom properties.\nThe top 10 metros with the largest rent versus buy savings (see below for top 50 metros):\nAustin-Round Rock-Georgetown, Texas –buying cost 144.4% more than renting ($2,120 monthly rent savings)Seattle-Tacoma-Bellevue, Wash. – 107.7% ($2,222)Los Angeles-Long Beach-Anaheim, Calif. –99.5% ( $2,784)Nashville-Davidson-Murfreesboro-Franklin, Tenn. –93.3% ($1,399)Phoenix-Mesa-Chandler, Ariz. –91.6% ($1,396 )Columbus, Ohio –91.3% ( $1,090 )Dallas- Fort Worth-Arlington, Texas – 88.3% ($1,307)San Francisco-Oakland-Berkeley, Calif. –88.2% ($2,442 )New York-New Jersey-Jersey City, N.Y., N.J., Pa. – 81.1% ( $2,342)Boston-Cambridge-Newton, Mass. –78.6% ($2,336)Renting a starter home continues to be a more affordable option in all 50 metrosA common question potential first-time homebuyers face is whether it makes sense to continue renting or if ...