Posted on September 13, 2012
Is it cheaper to rent or buy a home in Portland? It depends. There are so many factors that determine the answer but Trulia released a report today showing that it is cheaper to own than rent. The article also shows the importance of taking all the deductions possible to make that math work. Appreciation is not considered in the model. Ultimately the decision to buy or rent is very personal but this gives a great primer on things to consider.
Cost of homeownership assumes that the home is sold after 7 years and includes closing costs, maintenance, insurance, property taxes and other costs. Cost of renting includes security deposit and renters insurance. Monthly cost is based on net present value of costs over 7 years. Monthly costs are based on the average across all properties listed in the metro area, including those for sale and those for rent, in summer 2012.