According to Zoopla buying property is now cheaper than renting in 47 of the 50 largest towns and cities across the country.
However Zoopla have been a little bit loose with their maths to arrive at that conclusion.
They have taken a 100% Loan-to-value mortgage product (which probably does not exist) and compared the monthly costs with renting.
The website “letting agent today” goes on to explain that to compare the cost of buying versus renting, Zoopla analysed the current asking prices and rents of over 78,000 two-bedroom flats currently on the market, comparing the rental cost to the cost of ownership based on servicing an interest-only mortgage at 5% pa.
If you want to move, do some research on the internet about different communities and neighborhoods. Using the web, you can nearly become an expert on the area without even leaving your home. Consider the salary margins, population and unemployment rate of your desired location before purchasing a house there so you ensure that you will love where you live.
Swansea, Plymouth and Bournemouth are the only three locations on the list of 50 towns where it remains cheaper to rent than buy today.
In contrast, Milton Keynes comes top of the list of locations where buying beats renting and where renting is 36% more expensive than owning, leaving renters £2,436 per year worse off on average.
Get a warranty for the house. When you are buying a new home from the person who built it, or from an owner, get a warranty. Builders should be willing to warranty their home products for a certain time period. Previous owners should be willing to purchase a home warranty for at least a year to help you offset any impending repairs.