Wondering whether you should start saving up for a down payment instead of signing another rental agreement?
Well, if you’re in Warner Robins, perhaps you should consider buying your next home.
According to researchers at HomeArea.com, who recently crunched numbers on Georgia cities with a population of 60,000 or more using data from the Census Bureau and American Community Survey, Warner Robins has the lowest price to rent ratio, the median home value divided by the median rent.
“At its most basic level, the ratio is a benchmark for understanding whether it is better to rent or buy in an area,” researchers wrote in a recent analysis. “Anything under 15 indicates that it is likely more affordable to buy, and areas over 20 are likely better to rent.”
According to the report, Warner Robins’ price to rent ratio is 10.9, making it the No. 1 Georgia city where it’s cheaper to buy than rent. There, the median home value amounts to $111,300, with median monthly owner costs at $1,122 with a mortgage. Median rent is $829 with utilities.
Augusta-Richmond County came in second on HomeArea.com’s list with a price to rent ratio of 12.6. There, the median home value is $101,200 and median monthly owner costs come out to $1,107. Median monthly rent with utilities: $762.
Third on the list is Savannah, which has a price to rent ratio of 15.4. Savannah, the fifth largest city in the state, has a median home value of $145,900 with median monthly owner costs at $1,276. Median monthly rent with utilities amount to about $883.
Of all the cities examined, Albany saw the largest percentage increase in price to rent ratio — from 14.8 last year to 16.9.
Atlanta’s price to rent ratio, 26.5, ranked it 10th on the bottom of list, meaning it boasts one of the highest price to rent ratios in Georgia. In Atlanta, the median home value is $210,000 with median monthly owner costs at $1,860. Median monthly rent in Atlanta is $948 including utilities.
Sandy Springs ranked dead last on the list with a 35.7 price to rent ratio.
A previous ranking from SmartAsset actually ranked Atlanta 17th overall for best metros in the country to buy vs. rent based on the total costs of buying and renting a typical home or rental for households earning $100,000 per year.
In Atlanta, SmartAsset found, buying is a significantly better choice than renting after two-and-a-half years.
The 12 Georgia cities examined in HomeArea’s report and their price to rent ratios:
- Warner Robins (10.9)
- Augusta-Richmond County (12.6)
- Savannah (15.4)
- Macon-Bibb County (15.8)
- Albany (16.9)
- Columbus (17.7)
- Athens-Clarke County (19.8)
- Johns Creek (23.4)
- Alpharetta (26)
- Atlanta (26.5)
- Roswell (27.9)
- Sandy Springs (35.7)
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