HUD: Renters get more bang for their buck

Detailed information on the nation’s housing sector for homeowner as well as renter experiences are available for the first time with American FactFinder data access tool.

The U.S. Census Bureau and the U.S. Department of Housing and Urban Development posted the survey results on the quality of housing in the nation, with the most interesting result being households pay more per month compared to renters.

On average, households pay $927 per month, or 24% of their household income for housing. The cost is higher for residents of new construction, with median cost of $1,340 per month, or 24% of household income.

Renters on the other hand, generally pay less in housing costs at $845 per month. Although, they usually pay a higher percentage of their household income, at 31% compared to 20% for owners.

Previously, real estate providers have posted opposite findings.

Trulia indicated that buying a home was 45% cheaper — taking into account current market conditions — than renting in the 100 largest metros in the nation.

“Asking home prices have started to rebound and have risen by 2.3% year-over-year in August (3.8% excluding foreclosures); however, rents have risen more (4.7%),” chief economist Jeff Kolko of Trulia said. “This means that prices are lower relative to rents than they were a year ago.”

Other highlights of the housing survey included the most common method of finding units.

For homeowners, the most common method of finding their current units was speaking with an agent which was 20%. For renters the most common way was word-of-mouth, which was 34%.

Another interesting find was in regards to primary mortgage holders. More than 21% reported a change in their monthly payment in the last year, as a result of a change in property taxes or homeowners insurance.

Statistics of the survey are national-level only and provided for apartments, single-family homes, manufactured housing, new construction and vacant housing units.

A wide range of topics covered in the survey included pumping, housing problems, value, purchase price, type of mortgage and safety features.


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