ST. LOUIS (KMOX) - A new study done by the popular real estate guide Zillow shows St. Louis is a pretty good place to rent a home, as opposed to buying one.
CBS MoneyWatch blogger Ilyce Glink says Zillow ranks St. Louis as the tenth-best metro area in the nation where it makes more sense to rent rather than buy.
“With home prices falling so much over the past few years and mortgage rates at historic lows, home ownership has never been more affordable,” she said. “However, there are some places where renting is even a better deal than buying.”
Zillow reports the average home in St. Louis costs $161,000 and renting a similar-sized home here averages about $1,100 a month.
“So the longer it takes before buying becomes less expensive than renting, the less sense it makes to buy now,” Glink explained. “The smallest neighborhoods in St. Louis make it very affordable to rent and save money right away if you’re renting rather than buying.”