This year, Long places the tipping point at 5.6 years, on average, which is actually higher than the tipping point was last year -- a result of rising mortgage rates, increasing home prices, and (believe it or not) more attractive rental prices.
“Overall, what we see as one of the most important factors is how long you plan on staying in that home,” Long tells Thrillist. “Based on listings on StreetEasy,” he explains, “you need to stay in your home for a little over five and a half years for buying to make financial sense.”
As Long points out, there are a lot of upfront costs that come with buying a home, and hopeful homeowners may need to have considerable cash.
After all, while mortgage payments may be no sweat (they’re often equivalent to rental prices), a down payment and related closing costs are pretty much inaccessible for anyone who doesn’t have a trust fund or a rare beanie baby collection.