Buying a Home is Cheaper than Renting in Two-Thirds of U.S. Markets

According to ATTOM Data Solutions’ 2017 Rental Affordability Report, buying a home is more affordable than renting in 66% of U.S. housing markets. However, rising interest rates may soon change that percentage, warned the report.

Markets more affordable to buy than to rent

The report found making monthly house payments on a median-priced home — including mortgage, property taxes and insurance — is more affordable than the fair market rent on a three-bedroom property in 354 of the 540 counties analyzed in the report (66%).

Among the nation’s most populous counties, those where it is more affordable to buy than to rent are:

  • Cook County (Chicago), Illinois;
  • Maricopa County (Phoenix), Arizona;
  • Miami-Dade County, Florida;
  • San Bernardino County, California in inland Southern California;
  • Clark County (Las Vegas), Nevada;
  • Tarrant County, Texas in the Dallas metro area;
  • Wayne County (Detroit), Michigan;
  • Broward County, Florida in the Miami metro area;
  • Bexar County (San Antonio), Texas; and
  • Philadelphia County, Pennsylvania.

 

Markets more affordable to rent than to buy

Renting is more affordable than buying a home in 186 of the 540 counties analyzed for the report (34%), including:

  • Los Angeles County, California;
  • Harris County (Houston), Texas;
  • San Diego County, California;
  • Orange County, California;
  • Kings County (Brooklyn), New York;
  • Dallas County, Texas; Queens County, New York;
  • Riverside County, California in the inland area of Southern California;
  • King County (Seattle), Washington; and
  • Santa Clara County (San Jose), California.