Renting Looks Cheaper Than Buying

The changing aspirations of the young mean that people are renting for longer. Although seen as the equivalent to throwing money down the drain, could renting actually make better financial sense than buying?

As the housing market has cooled over the past year or so, agents and landlords have reported a steady demand for rented property. This is not surprising, as the modest falls in average house prices reported to date have yet to make much of a difference to first time buyers already priced out of the market. Meanwhile, the prospect of further house price falls, or even a prolonged period of unchanged prices, means that would-be homeowners can take their time before committing to a purchase. But given the British obsession with property, how durable is that demand for rented accommodation likely to be?

Renting out of need not desire?

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