Renting v. Buying
A recent report states that buyers with mortgages pay £316 more on average per month compared to those renting comparable properties- but within five years owners recoup their initial buying costs and become better off, according to one of the national property portals.
The average monthly rent across the UK is now £865 according to the research, whereas a mortgage is £1,181. However, within five years the equity of a purchased property outstrips the savings; and after seven years, the average owner is £13,850 better off compared to an equivalent tenant. There are, of course, significant regional variations.
Some of the most cost effective places for tenants are Bournemouth, London, Huddersfield, Colchester and Reading, due to their higher property sale prices relative to rents. On the other hand places such as Hull and Birmingham are currently the most cost effective towns for buying versus renting, as the average monthly mortgage payment is less than the average rent.
We do not have specific figures for West Oxfordshire, but buying should ultimately prove financially beneficial in the long term, that is assuming you can get yourself on the property ladder in the first place. Just look at property prices over the last 30 years, although there will be blips, as we experienced in 2008/9.