Forbes Tackles Renting-Buying DebateFeb 11 2010
Forbes Reveals Top Metro Areas to Stop Renting and Begin Buying
February 11, 2010 - Historically low interest rates and the first-time homebuyer tax credit are just a few of the efforts the U.S. government has made when trying to convert renters into homeowners. Just recently, Forbes.com tackled the never-ending debate between renting and buying and compiled a list of the top U.S. cities where buying is most beneficial.
Chicago, amongst several other cities including Boston, Charlotte, Cincinnati and Denver, were the top metro areas to make the list. Forbes' list was comprised of cities recorded to have some of the biggest pricing discounts in the country. These cities are also projected to see increases in their home prices over the next several years.
"Rents are falling, but not nearly as rapidly as home prices," Ron Witten, founder of the Dallas-based company Witten Advisors stated. Witten continues to explain that mortgages have become much harder to obtain, which is why most renters have shifted away from homeownership.
Job stability is one of the largest sectors that helped dictate Forbes' results. The presence of jobs helps to keep the demand for homes high, which in turn raises home prices. The country's weak economic conditions have largely lowered the premium to buy homes, making it an ideal time to purchase.
While buying or renting is ultimately an individual preference, lower interest rates are producing a buyer's market.