As rents soar, is it cheaper to rent or buy in the Bay Area?

Bay Space rents proceed to soar from pandemic reductions, however it nonetheless makes extra monetary sense to lease than to purchase within the area, in response to a brand new report.

In January, the Bay Space had among the many high 5 highest median rents for studio to 2-bedroom items within the nation, in response to Realtor.com. The median lease within the San Jose-Sunnyvale-Santa Clara area was $3,062; within the San Francisco-Oakland-Hayward area, it was $2,975.

However you'll nonetheless be saving cash by renting than in case you purchased a starter residence of a comparable measurement.

Within the South Bay, renters would save a median of $1,479; in San Francisco and East Bay, the distinction is $1,461. The explanation for such financial savings is powerful residence gross sales costs.

Different cities that topped the pro-rent market, not surprisingly, had been tech hubs. Right here’s the highest 10:

High 10 Markets that Favor Renting Over Shopping for

                                                                         Median lease                 Month-to-month purchase price

1 Austin-Spherical Rock, TX                                      $1,769                         $3,115

2 New York-Newark-Jersey Metropolis, NY-NJ-PA          $2,700                         $4,115

3 San Francisco-Oakland-Hayward, CA               $2,975                         $4,436

4 San Jose-Sunnyvale-Santa Clara, CA                $3,062                          $4,541

5 Seattle-Tacoma-Bellevue, WA                            $2,086                          $2,908

6 Boston-Cambridge-Newton, MA-NH                 $2,795                         $3,843

7 Denver-Aurora-Lakewood, CO                         $1,895                          $2,540

8 Rochester, NY                                                    $1,264                           $1,624

9 Portland-Vancouver-Hillsboro, OR-WA            $1,733                           $2,176

10 Los Angeles-Lengthy Seaside-Anaheim, CA        $2,982                           $3,742

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