It’s much cheaper to buy than to rent.
If you can’t afford to buy, renting is cheaper. Right? Well the latest figures show that might not be the case with average mortgage payments LESS than average rent payments. But does that mean buying a home costs less than renting?
If you look at the annual cost, it would appear so. Over the last five years, we’ve seen both rental and mortgage payments increase. However, the average cost of rent has grown far quicker. In 2015 it’s eight percent more expensive each month to rent, with an annual difference of £672.
In fact, not so long ago in 2009, renting was significantly cheaper each month than having a mortgage with a 16% difference between the two.