News flash: “Rent vs. Buy” favors “rent” this time

News flash:  “Rent vs. Buy” favors “rent” this time

Rent vs Buy favors rent for now

It’s been a long time since “rent versus buy” argument favored the “rent” side of life- but that’s the news from here in Orlando these days.  And I hope it’s a sign of a rising tide that’s going to lift a lot of ships.

Why the shift?  It boils down to a simple payment gap between the costs of renting and those of buying, same as it always has.  With our sales inventory here running at about 2/3 of the 6 months worth of inventory that’s widely considered standard, ol’ Econ 101 has struck again.

Median Orlando sales price this past month?  $125,750- up from $108,000 at year’s start.

Average Orlando mortgage payment, according to FBC Mortgage?  $1,200.  Average Orlando rent?  $1,050.  That spells win, win, win.

Investors win, as word that “renting makes sense again” leads more to become tenants rather than buyers…for now.

Those with homes on the market win, as low inventory n the sales side maintains the current sellers’ market as prices are rising…

Lastly, the buying/renting public wins, as this “rent versus buy” or “mortgage vs rent payment” gap remains reasonable right now and one can’t be faulted for making either choice.

News flash:  “Rent vs. Buy” favors “rent” this time


About Dennis Burgess

Dennis B. Burgess Realtor in Orlando, FL ORRA Vice-chairman of Strategic Planning/Secretary ORRA/FR Boards of Directors Empire Network Realty 6000 S. Rio Grande Ave., #104 Orlando, FL 32803 Cell: 205-445-4755 Office: 407-440-3798 Twitter: @orlrentals Turning vacant into occupied, and "houses" into "homes"
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