Buying A Home Costs Less Than Renting In This One U.S. City

Pittsburgh is the only major US metro where buying a starter home is cheaper than renting, with a 7.5% savings. In June, owning a 0-2-bedroom home in Pittsburgh cost $1,361 per month, compared to $1,472 for renting. In contrast, buying a starter home costs an average of $908 more per month than renting nationally, a 53.1% difference. Renters have benefited from 23 consecutive months of year-over-year rent declines across the 50 largest US metros. Median rent in June stood at $1,711, up just $6 from the previous month, but still 2.7% lower than its August 2022 peak. The cost of homeownership remains elevated due to the pandemic housing boom and high mortgage rates. Pittsburgh avoided the housing frenzy during the pandemic, maintaining its stability and affordability. The city's affordability is attributed to its resilience, infrastructure, and aging housing stock, which is often in need of renovation. Experts believe Pittsburgh will remain affordable due to its dynamic communities, modest cost of living, and industrial growth. The city's inventory of affordable homes and ability to pivot towards technology during the pandemic have also contributed to its affordability.