Renting costs more than homeownership in many regions

Renting costs more than homeownership in many regions

Renting costs more than homeownership in many regions
Home prices are rising at a rate unseen in years and mortgage rates have ticked up in recent weeks. One might think that the combination of these things is likely to make homeownership a bad deal when compared to a simply monthly rent payment. However, according to data from Realtor.com, buying a home in 15 major metropolitan markets is still less expensive than renting.

There were multiple Southern California areas where leasing a home was more expensive than the median mortgage payment including Riverside where homeowners saved up to 11 percent more on housing compared to those who rent.

Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 3.0 percent and 15-year rates are near 2.375 percent.

Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.