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Blue is rent, red and orange are monthly mortgage payments with 20% and 10% down. They are not rent-burdened (market median income $100k+), but either for convenience or lack of down payment are choosing to rent.
Even if it is cheaper to buy than rent, if you don't plan on staying in that place for a long time, the fixed costs of buying make renting more attractive.
True, but paying a premium for the convenience of flexibility is a very recent phenomenon. That dynamic is, I think, still evolving. It’s only been a few decades now where you could rent by choice in a high quality safe building without social stigma of not owning.
Would you say that 10 and 20 years ago buying, relative to renting, was more or less affordable than it is today? Buy to rent ratios were lower then but interest rates were higher. I wonder If society’s expectations changed or it was just the economics of the mortgage payment.
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