Buying a home remains valuable
Despite a shift in the American Dream which is putting less emphasis on homeownership, Trulia’s third quarter Rent vs. Buy Index reveals that of the 50 largest cities in America, 74% now boast that owning a home is more affordable than renting which is welcome news to real estate practitioners.
New York, Seattle and San Francisco are the only three cities where it is more affordable to rent than own and in only 14% of cities is it similarly even in affordability of owning or renting.
Miami and Las Vegas are stand out cities with Miami’s performance improving 112% in the price to rent ratio between January and July and Las Vegas becoming the most affordable of the 50 largest cities.
Interest rates are at historic lows but with unemployment not improving substantially, the market remains uncertain. Trulia has analyzed unemployment, job growth, foreclosures, job competition, list price and rent price along with the rent to buy ratio on Trulia Insights, where they graph all of this data in an interactive page.