Tuesday, May 3, 2011
Baltimore Flashes a "Buy" sign vs. Renting
The popular realty website Trulia.Com keeps track of rental rates and selling prices across the country. Periodically they rate markets whether renting or buying is more advantageous based on rents and prices. This is something we have written about in previous posts. Baltimore is now clearly in the camp of buying being a much better deal. Trulia reports that the average selling price in the Baltimore Area only 12 times the annual rent. This means that a house that rents for $1,500 a month will sell for about $216,000. A, 90% mortgage on this house would have monthly payments, including taxes and insurance of about, $1,250. Not only is this less than rent but there are tax advantages as well. Also, the monthly payment won't increase like rent. To read a full report on this subject including a data map on the entire US, click here.