Is this the right time to buy? A new study commissioned by university researchers shows it may be.
The National Association of REALTORS® posted a video on the study on its Speaking of Real Estate blog which explores whether it’s better to rent or buy. You’ll have to learn what a “hurdle rate” is, but the information is explained in the accompanying blog. (The hurdle rate is: “the point of equilibrium between renting and buying where it’s a wash in terms of wealth building.”) Now you know.
Based on today’s hurdle rate, it’s a better time to buy than to rent, because you can build more wealth owning than renting, the report states.