Renting property now cheaper than buying says the BBC

October 5, 2007

A really interesting report just appeared on the business pages of the BBC website, quoting a study of property costs in England and Wales.

For many years, renting a home was thought to be just as expensive as buying one. But that position has been changed by the rapid rise in house prices.

Professor Steve Wilcox of York University, who carried out the analysis, said that in many areas, people who were unable to buy a house could still afford to rent in the private sector.

“Not too long ago, there was little difference between the costs of buying and renting,” he said.

“But while house prices tripled in the years since 1994, private sector rents only increased in line with earnings, and the costs of renting have as a result fallen relative to the costs of buying,” he added.

This should clearly interest anybody weighing up the pros and cons of renting versus buying property today.

Posted by Catherine | Filed Under Property to rent