Making the rent vs. own decision may have more long and short term implications than you might think. Here are some tips to help you consider the best option for you.

1. RENT
Should you
Find the best strategy for your house
or OWN

2. THE
GREAT
DEBATE
It’s an age-old
debate that never
really goes away.
What’s the best
way to save money
on your home:

3. RENT BUY

4. The question
comes down
to security.

5. Fixed payments on standard
mortgages for the next 15 or 30
years can be reassuring when
rents may rise with inflation.

6. recent economic conditions
only complicate the issue.
But

7. (in 2010)17
%
Vacancy rates recently fell

8. This is due to foreclosures that forced
many into the rental market, causing
rents to go up as demand increased.

9. THE CASE
FOR BUYING

10. The first argument against
renting is the amount of
money you’ll spend with no
return. If you pay $1,000 a
month, you’ll pay $360,000
over 30 years with no return.
For many, that alone is a
deciding factor in the rent
versus buy dilemma.
1

11. Another thing you may want to
consider: In many cities former
homeowners have entered the
rental market in large numbers,
causing rent to increase.
2

12. Finally, fluctuating home values
have made homeownership more
affordable in most major cities.3

13. THE CASE
FOR RENTING

14. 8
YEARS
Today, the average time
people spend in a home is

15. If you want the flexibility to
easily relocate or you don’t
expect to stay in a home
beyond the short term, renting
certainly has its appeal.
1

16. Buying will require your
home to steadily appreciate
to cover your costs: down
payment, taxes, closing
costs, mortgage interest,
repairs and other expenses.
2

17. Finally, check the ratio of a
home’s price to that of annual
rent. The tipping point starts
about 15-20 times annual rent.
3

18. For example, in a neighborhood where the average rent is
$12,000 a year and a comparable house costs $180,000,
buying a house for much more than that may not add up.
$12,000
$180,000

19. Everyone’s situation
is different. Be sure to
take the local economy
into consideration
before making your
final decision.

20. Look online at specific
neighborhoods to compare the
monthly cost of renting against
equivalent for sale listings.

21. In an undervalued
housing market, the
appeal of buying
can be compelling.

22. For those considering buying, the questions are often
simpler than any rent or buy calculation. You have to
figure out what is best for your family, right now.
To learn more about renting versus buying, visit
Regions.com/mygreenguide
This information is general in nature and is provided for educational purposes only. Regions makes
no representations as to the accuracy, completeness, timeliness, suitability, or validity of any
information presented. Information provided should not be relied on or interpreted as accounting,
financial planning, investment, legal, or tax advice. Regions encourages you to consult a professional
for advice applicable to your specific situation.