Rent prices jumped 20% in the past year, making home ownership look more attractive by comparison. Buying lets you lock in payments and build equity instead of paying a landlord forever.
New report from realty.com today shows that the average monthly rent across the country went up 20% in just the last year. That was a $300 a month increase. If you gave that same $300 a month to somebody purchasing a house, they now can afford a $70,000 more expensive house. Now with a record low inventory and a record amount of people looking for their own place, these are both trends that are going to continue. The big difference, rent will continue to go up indefinitely. But if you purchase a house, you can lock in your price, your rate, your payment, and you actually start receiving equity.
