Tuesday, February 10, 2026

Where is it cheaper to rent vs. buy?

.
The Economist:  In long-run equilibrium, buyers should be indifferent between renting and buying. If buying were cheaper, then some renters would buy, which would drive down rents and drive up prices, until consumers became indifferent between the two options.  

One of the signs of a housing bubble is when it is cheaper to rent.  

No comments:

Post a Comment