Buying a median-priced home is more affordable than renting a three-bedroom property in more than half the counties in the U.S., according to ATTOM Data Solutions’ 2018 Rental Affordability Report.
The report found buying was more affordable than renting in 54 percent, or in 240 of 447 U.S. counties analyzed.
“Although buying is still more affordable than renting in the majority of U.S. housing markets, that majority is shrinking as home price appreciation continues to outpace rental growth in most areas,” ATTOM Data Solutions Vice President Daren Blomquist said in a release.
“Renting has clearly become the lesser of two housing affordability evils in many major population centers, with renting more affordable than buying in 76 percent of counties that have a population of 1 million or more,” Blomquist added. “And when broken down by population rather than number of markets, this data shows that the majority of the U.S. population — 64 percent — live in markets that are more affordable to rent than to buy.”
The report said renting is more affordable than buying a home in 30 of 39 counties with a population of 1 million or more (76 percent) , including Los Angeles County; Cook County (Chicago); Harris County (Houston); Maricopa County (Phoenix); and San Diego County, California. The same held true for counties in Miami, New York City, Seattle, Las Vegas, San Jose, San Francisco and Boston, according to the report.
The report found nine counties with populations of 1 million or more where it is more affordable to buy a home than rent. Those counties were Tarrant County (Dallas); Broward County (Miami); Bexar County, (San Antonio); Wayne County (Detroit); Philadelphia County; Hillsborough County (Tampa-St. Petersburg); Cuyahoga County (Cleveland); Allegheny County (Pittsburgh); and Saint Louis County.