With the appreciating values, higher prices, limited inventory, you might think home buying is out of reach. But when you look at the ever rising cost to rent, it could actually be cheaper to buy a home.
Sure, sometimes the opposite is also true, but in not in most cases. It can be a difficult thing to find a place to call home. Even so, home buying is usually more affordable than renting in Roseburg OR.
Home Buying Vs. Renting In Roseburg
Fact is, rent rates are rising much faster than home prices all across the country. Of course, if mortgage rates rise significantly, this scenario could change, and so could the affordability of buying vs. renting.
To help you understand how buying can be more affordable than renting, let’s look at a couple pieces of information. Let’s look compare the estimated mortgage payment on the average home in Roseburg and see how it compares to rent.
- Estimated Mortgage Payment: The average home in Roseburg is selling for about $202,000. With 3.5% down at 4%, the payment would be right at $930.63/mo PITI. Even if you finance 100% at 4%, your PITI is still under $965/mo.
- Average Rent. Now let’s look at the average rent in Roseburg. If you are looking to rent a 3 br. 2 ba. home in or around Roseburg, you’ll be paying somewhere between $1,100, and upwards of $1,800/mo. just to rent.
Besides the financial aspect, future equity, eventually living payment free, and satisfaction of owning your own home, there are two other clear benefits you’ll enjoy about owning a house.
- You can usually get a larger home for the same monthly cost.
- You can usually buy a much higher quality home if you decide to buy instead of renting.
Check It Out
The bottom line is this. Rents are higher today than they were 10 years ago, and I think we could all agree that they will be higher 10 years from now. Buying a home is one way you can hedge yourself against the rising cost of living. Owning gives you the peace of mind of having a fixed interest rate, fixed term, and fixed payment.
If you are disheartened about the rental home hunt, give me a call. I’m always here to help. Interest rates are still at historic lows, which makes home buying more affordable than renting in Roseburg… for now.
Troy – 541-643-1131.