For the buy versus rent debate, this chart (recently published by the National Association of REALTORS® Research Department) is a good one to share. It shows how homeowners on average have far greater net worth than renters—ranging between 31 and 46 times greater over the last 12 years.
Here are a few more factors in favor of buying:
Tax breaks. Homeowners can take advantage of federal income tax deductions on property taxes and mortgage interest.
Rent typically increases each year, a fixed-rate mortgage doesn’t. The monthly payment for a homebuyer with a 30-year, fixed-rate mortgage will remain the same. Plus, today’s record low rates make this monthly payment even more affordable.
You get to make the decisions. When you own a home you can decorate, make home improvements, and landscape your property as you wish.
Neighborhood stability and social involvement. Studies have shown that homeowners establish roots in a neighborhood and participate more in the local scene through volunteerism, political activities and organizations such as neighborhood crime watch and local school parent-teacher groups.