Attom Data Solutions compiled its 2019 Rental Affordability Report and determined that it is more affordable for people to rent than buy a home in 59% of US counties. This shows the pent-up demand for rental homes plus underlying reasons why:
- Home purchase prices have appreciated 6.7% annually recently while rents have increased 3.5%
- Home prices are increasing faster than wages in 80% of the markets
- However, rents are also rising faster than wages in 52% of markets
- Renting is more affordable (relative to local income) than buying in almost all of the largest metro markets across the US
- Least affordable rental markets are in specific areas of California, Hawaii, Virginia, Florida, and New York
- Most affordable rental markets are in Tennessee, Illinois, and Ohio
- Most affordable rents in large metros are found in Pittsburgh, Cleveland, Missouri, and Detroit.