ST. LOUIS – According to a new study, it is better to buy a home than rent in 18 of the 50 most populous U.S. metros.
Clever Real Estate explained in the study, that St. Louis ranks high for its affordability for home buyers and proves to be more affordable for homeowners compared to renters.
Using a price-to-rent ratio, the real estate group found that St. Louis ranked above cities like Cincinnati, Ohio and Indianapolis, Indiana for its home buying to rent ratio.
The typical home price in St. Louis is $230,271, and typical rent is $1,410 giving it a 13.6 price-to-rent ratio.
Cleveland, Ohio, ranked as the best metro area for homebuyers with the lowest price-to-rent ratio as homeowners save over $1,100 yearly compared to renting.
While San Jose, California, was found to be the most expensive as renters save $5,598 monthly compared to homeowners.
According to the study, 57% of American believe renting is a “waste of money” while the average home price nationwide has risen 39% more than the average rent over the last five years.
