Of course, the answer to this question depends on your situation, but looking at some of the stats and facts may help you decide to rent or buy in Boston. According to new data, renters in Boston may be spending more money than home buyers. On average, a render will have a $2,244 deficit at the end of the month, while a homeowner will come out ahead by about $2,057.
While a big part of the difference comes from the difference in discretionary income of renters and buyers, it’s not the only factor. In many cases, renting is more expensive in Boston than making a mortgage payment.
In fact, a renter will pay, on average $3,175 in rent every month and likely go into debt to afford the rest of their living costs. However, a homeowner you’re mortgage payment will most likely be lower than the average rent and you will have more money left for those other living expenses.
The report from PropertySharks showed that Boston is one of the cities you can actually save money by owning a home compared to renting. In many cases, renters have to take on roommates in order to cover their other living expenses in Boston. If they don’t, they could find themselves running up credit card debt faster than they could ever imagine.
Should You Rent or Own in Boston?
While the stats from this report are eye-opening, the decision to rent or own in Boston still depends on your situation. Do you have the ability to save for a down payment? Can your income and credit score support approval for a mortgage? Are you ready to call Boston home for several years or will you be moving to another city within the next five to ten years?
There are plenty of things to think about, but the idea of being able to save money as a homeowner in Boston is very appealing. It’s also appealing for many homeowners to dump the need for roommates. However, even if you buy, you can still take on a roommate to help pay the bills, if necessary.