According to a recent study known as the Beracha, Hardin & Johnson Buy vs. Rent (BH&J) Index, the U.S. housing market continues to demonstrate that it is a financially sound plan to become a Homeowner, rather than continue to rent.

The BH&J Index report is published quarterly and attempts to answer the frequently asked question:

In today’s housing market, is it better to rent or buy a home?

The index first takes a look at US housing market as a whole and from there focuses on 23 major cities for comparison. The researchers “measure the relationship between purchasing property and building wealth through a buildup in equity versus renting a comparable property and investing in a portfolio of stocks and bonds.” 

Although most of the major metropolitan cities examined have moved further into the Buy vs. Rent zone, markets like Dallas, Denver, and Houston oddly favour the reverse.

Due to a lack of inventory, the Dallas, Denver, and Houston area market prices have increased by 13%, 11.4%, and 7.3% respectively. Rest assured however, once residents in these areas realize that renting is a less favourable option in the long run, prices should level off.

The Takeaway

In the vast majority of the US Housing Market, it is currently a financially sound plan to Buy vs. Rent. Buying a home just makes sense, as rents are predicted to increase substantially over the next year. Protect yourself from rising rents by locking in your housing cost with a mortgage payment now. 

If you have been considering a home purchase, Buying now vs. waiting will save you thousands & thousands of dollars. It’s you move!!

As always, call or text me today at 727.755.3434 and I would be glad to help.