Buying vs. Renting.

As a renter, you likely face an important decision every year: renew your current lease, start a new one, or buy a home. Rents are expected to grow more than home prices in 2023, according to Realtor.com. ⁠Don't get caught off guard by rising rent costs - consider all your options and make an informed decision.

⌂ Annual Rate of Rent Increases: California law allows landlords to raise rent between 5% - 10% every year. According to Altos Research, the median rent for April in San Diego County is $4,300. 

⌂ % of Equity Built by Renting: 0: Home equity is the dollar amount of your home that you own. It’s the difference between the current value of your home and the amount of money you owe on your mortgage. You can borrow from your equity as a loan, invest it, build long-term wealth, or sell your home for more than you owe and keep the difference. By renting, you’re building someone else’s equity.

⌂ Rent Often Goes Up Faster Than Inflation: The cost of rent increases by varying factors, inflation being one of them. Data from iProperty Management and U.S. Inflation Calculator shows that for more years than not from 1973 - 2020, rent increase beats inflation. An analysis by personal-finance website WalletHub released last month shows San Diego County in the top 15 cities that are experiencing the most inflation.