Rising rents in Sacramento turn residents toward buying
In California, new real estate figures are showing that rent-versus-buy calculations vary a great deal. While high rents typically mean higher home prices, this is not the case for many California metros such as Sacramento.
Coming in at number 10 out of 25 in a list of California metros where homeownership makes more sense than buying, the average home price in Sacramento is $175,000, while the average monthly rent is $1,021, the Sacramento Business Journal reports. In addition, the city has a price-rent ratio of 14.3. These figures were compiled for the first quarter of 2012 by the Washington-based Center for Housing Policy.
Residents should consider purchasing real estate in Sacramento to get more for their money. Homeownership is an investment for the future, and in an area like Sacramento, it is a far better economic deal to purchase a property in the metro area than to rent the same home. Check out homes in the areas surrounding Sacramento such as the neighborhoods of Poverty Ridge, Washington and East Sacramento.