Owning a Home Actually Costs Less Than Renting. Always.
This age-old adage is especially true in the long run. Think about it. There wouldn't be any homes for rent if there wasn't any money to be made by homeowners. Usually, they are not only making a profit off of their tenants but also have enough money left over to pay a property management firm to manage the property for them.
This is just how the system works, and it is largely due to the economy expanding and a fairly consistent increase in the value of homes. It's not the property owners who decide the market for rentals. And if you owned the property you would probably do the same thing at some point in your homeownership journey.
With the expected increase in rental rates of 3% to 5% per year nation-wide, even if the economy isn't so great you can expect for the rental rates you can charge to catch up to and surpass your mortgage payment dramatically over the first ten years of homeownership. This is the golden hour of owning your home, whether for investment or residency. If you plan on staying in your home at this point, you can rest easy knowing that if you run into a financial downfall, you can always rent out your home and rent a cheaper residence until your money is caught up to your lifestyle. And if you purchased your home as an investment, this is the time where your investment starts paying dividends.
People often get hung up on the fact that when they purchase a home they can expect to pay twice the sale price by the end of their 30-year term, due to interest on financing. But, if you think about it logically, you will understand that when a person rents home, they are ALWAYS paying the mortgage for that home...which means they are also paying the interest on the financing for that home!
In the end, it's your decision. But there is no data our argument that could ever convince me that renting a home is better than making a home purchase. After all, it is the American dream.