Wow...contrasts don't get any more stark than that!
From another article in today’s WSJ titled First-Timers Begin Looking At Houses Again:
“In much of the country, renting remains a bargain compared with owning, according to an analysis prepared for The Wall Street Journal by Torto Wheaton Research, a unit of CB Richard Ellis Group Inc. In markets such as Las Vegas, San Diego and Washington, the monthly cost of renting the average apartment is roughly half what it would cost to own the median-price home in the third quarter…”
Here’s the table. Rent vs. Own Ratio
City 2001 2006
Atlanta 1.01 0.82
Boston 0.87 0.63
Charlotte 0.85 0.66
Chicago 0.84 0.68
Dallas 0.94 0.89
Denver 0.65 0.57
Houston 0.90 0.83
Indy 0.93 0.93
Vegas 0.83 0.49
LA 0.82 0.46
Miami 0.89 0.52
Minny 0.84 0.72
Orlando 1.03 0.58
Philly 1.07 0.81
Phoenix 0.86 0.54
SD 0.61 0.38 (!!!)
SF 0.67 0.42
Seattle 0.60 0.45
Tampa 0.98 0.66
DC 0.82 0.51
US Average 1.02 0.79
Comparison is 2001 average vs. 3Q 06. Mortgage costs do not contemplate taxes/ insurance/ assessments/ maintenance nor account for interest deduction.