Marketplace, December 2024
New data out from real estate firm CBRE shows that the average monthly mortgage payment — if you’re buying a home today — is about 75% higher than it would have been in 2019. Nationally, new monthly mortgage payments are now about 35% more expensive than renting. And in some cities, like LA, Austin, Salt Lake, and Seattle, it’s about 140% to 160% more expensive to own now. So how does that affect the calculus of renting versus buying?
Owning a home has long been a central part of the “American Dream.” “For many Americans — especially middle- and lower-income Americans — that’s kind of the primary way that a lot of folks build wealth,” said Chris Salviati, a senior housing economist at Apartment List. These days, for those who don’t own yet, “that math has kind of changed a little bit,” he noted.
