With the average rent in the Bay Area near $3000/month and mortgages just as high or HIGHER – it’s easy to wonder if you are better off renting or if you should take the plunge & buy.
Based on data, the biggest pool of Home Buyers currently are Milennials and the average length of time people are staying in their homes is now 9 years.
If you are in your home for 9 years, this graph spells out the rent vs own story.
The short story is YES, buying is better than renting. Long term, in a 9 year span (the average time a home is owned), the average consumer in Alameda County would gain $377K in equity from their home, while the renter would have only paid $3000 – $4000/month which is equivalent to $377K in rent paid with zero equity or financial assets.
If you have more questions about this information, contact Dave or the TAG team.
Phone – 510.303.3887
Email – davem(at)divcap(dotted)net