It cost 52% more to own a home than to rent in Utah in 2015 slightly lower than the nationwide average of 54%. This is according to an analysis of U.S. Census Bureau’s American Community Survey median gross rent and homeownership cost in the country.
The cost of owning a home largely depends on certain expenses around the house such as repairs and improvements. In Utah, roof repairs are some of the most expensive if you ignore small leaks and cracks.
It may cost you at least $5,000 to replace a roof when you leave certain problems unattended for a long time. Termite extermination can also be costly, as you may need to pay $7,000 or more depending on the damages.
Other types of restoration work should not be that expensive, including water heater repair, notes Whipple Service Champions. Salt Lake City homeowners, for instance, may save money on utility bills if they regularly check their water heater system at home.
Buying vs. Renting
The median monthly cost to own a house in Utah amounted to $1,408 compared to a median rental cost of $925, resulting in a difference of $483, the analysis noted. The situation remains the same in other states, where owning a house costs more than to rent on a monthly basis.
However, homeowners enjoy certain benefits that are not applicable to renters, including a sense of financial security, tax incentives and being able to save for retirement.
Those who live in Florida and Colorado pay lowest homeownership premiums at 33% and 40%, respectively, which makes owning a house more sensible than renting one.
Homeownership can be costly depending on where you live in the U.S., aside from certain maintenance expenses around the house. On the other hand, renting out properties may be okay if you have a long-term lease with your landlord.