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IRVINE, CA—Renting a home is less affordable than buying in mostUS markets, but not where Millennials are moving the most, according toa report from RealtyTrac. In markets with thebiggest increase in the Millennial share of the population over thelast six years, renting is the more-affordable option.
The firm analyzed 2015 fair-market rental data recently releasedby the US Department for Housing and UrbanDevelopment for three-bedroom properties in 543 countiesnationwide with a population of at least 100,000. In the 473counties with sufficient rental and home-price data, thefair-market rent for a three-bedroom property next year willrequire an average of 27% of median household income, while buyinga median-priced home requires an average of 25% of median householdincome based on the median sales prices in November. Buying amedian-priced home was more affordable than renting a three-bedroomproperty in 68% of the counties analyzed, representing 57% of thetotal population in those counties.
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Carrie Rossenfeld
Carrie Rossenfeld is a reporter for the San Diego and Orange County markets on GlobeSt.com and a contributor to Real Estate Forum. She was a trade-magazine and newsletter editor in New York City before moving to Southern California to become a freelance writer and editor for magazines, books and websites. Rossenfeld has written extensively on topics including commercial real estate, running a medical practice, intellectual-property licensing and giftware. She has edited books about profiting from real estate and has ghostwritten a book about starting a home-based business.
