You are currently viewing Cost of Owning a Home Surges Above the Cost of Renting One

Cost of Owning a Home Surges Above the Cost of Renting One

A new report shows that having a mortgage is far more expensive than having a lease, a disparity that is helping to cool a red-hot housing market.

Housing costs, pushed higher by soaring home prices and rising mortgage rates, outpaced rental costs in April, making owning a home more expensive on a monthly basis than renting one, according to a new report.

The report, released this month by John Burns Real Estate Consulting, an industry advisory firm based in California, showed that having a mortgage cost $839 more per month than having a lease — a difference nearly $200 higher than at any time in the past two decades. Just a year ago, the difference between owning and renting was virtually flat, according to the firm’s data.

The imbalance has pushed many would-be home buyers out of the market, said Danielle Nguyen, a senior manager of research at the firm who wrote the

Keep reading this article on The New York Times Business.

Leave a Reply