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Property News > The Cities Where Renting Is Now Cheaper Than Buying
The Cities Where Renting Is Now Cheaper Than Buying
This month we’ve been exploring the difference between renting and buying on the Property Rescue blog, and it’s produced some quite remarkable findings.Gone are the days where buying is far and away cheaper than renting and a new dawn has emerged in the market where it’s now cheaper to rent in almost half of the UK’s major cities.With property prices hitting their peak, those looking for a new home may be feeling more and more inclined to enter the rental market, particularly those living in the south. But where are the biggest differences between monthly rent and mortgage repayments? We take a look at the places where rent prices are being gazumped by mortgage payments…
Despite huge rental fees in the capital, you’ll save almost 47% by avoiding buying. Currently the average monthly rental fee for a two-bed home is £1,861 compared to a mortgage price of £3,001. That’s a staggering difference and one of the reasons behind many experts suggesting the price of property has plateaued.
Staying in the South East, the historic student city of Cambridge is also seeing the price of property exceeding the rental market, with mortgage prices 30% higher than renting.In Cambridge you can expect to be paying around £1,488 in mortgage repayments, based on a 90% mortgage, while renting will set you back around £1,099.
The glorious seaside town of Brighton has some beautiful houses and apartments, and it’ll work out around 27% cheaper to rent one. A stroll home along the pebbled beach will cost renters around £1,199 per month, with buyers spending £1,576.
The smart commuter town of Reading is popular for those travelling into London for work and you can save around £300 per month renting over buying.A mortgage will take up around £1,300 per month compared to the £1,000 rent fees, a saving of 26%.
The biggest saving on rental fees you can make up north is the home of The Beatles, Liverpool. Money can’t buy you love in the city, but £623 per month will allow you to rent a two-bed property, which is a good £60 below the average UK rental cost.Add 23% to that and you’ll be paying the average cost of monthly mortgage repayments at £784, almost four times less than that of London.