The Cromford Report also compares renting vs buying.
This slide that shows how the average Principle and Interest (P&) in Dec of 2018 was very close to that of January 2005. Obviously, interest rates are lower. However, you can see how the margin between average monthly payment and average estimated monthly payment for a 1,900sf home have been diverging in recent years.
So, what does this mean for you?
BUYERS: If you are not ready to buy, don’t despair. Save your money as aggressively as possible. Also, the lenders we work with have access to down payment programs for low income buyers. See if you qualify.
SELLERS: Even according to these charts, your home may be less expensive than renting. We can communicate to those renters that buying is an option. Also, from now until early June is the high season. Sell now if you are going to sell this year!
Call us directly for more insights at 602-456-9388.