Does it make sense to buy a house?

Here’s a great interactive graphic from Trulia.com that shows the ratio of renting to buying. The ratio is how many years of paying before you paid full price for an equivalent house. This data is comparing the median list price with that of a two bedroom apartment.

For example, in NYC renting is so much better that you’d pay rent for 39 years before you’d paid the amount the house costs. A good estimate is the rent-to-price ratio should be about 17:1.
The size of the circle shows how much the rent is (e.g. bigger circle means more rent). The color indicates the ratio (e.g. red means better to rent; green means better to own).

Grab 001 1

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.