Comparison of Ownership vs. Rental Costs in 100 U.S. Cities Demonstrates that Rental Options Should Be a Consideration in Housing Proposals

Source: Hye Jin Rho, Danilo Pelletiere, and Dean Baker, Center for Economic and Policy Research, May 2008

From a press release:
As Congress debates solutions to the mortgage meltdown and ever more homeowners find themselves facing foreclosure, a report released today by the Center for Economic and Policy Research (CEPR) and the National Low Income Housing Coalition (NLIHC) shows that in many bubble-inflated markets, homeownership remains a costly and risky proposition.

The study, “Ownership, Rental Costs and the Prospects of Building Home Equity: A Comparison of 100 Metropolitan Areas,” evaluates the median house price and fair market rent, as determined by HUD, for the 100 largest metropolitan areas. The study extends the methodology from an earlier study, “The Cost of Maintaining Home Ownership in the Current Crisis: Comparisons in 20 Cities,” to the 100 largest metropolitan areas in the U.S.

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