Like real estate in much of the rest of the country, Queens homes are cheaper to buy than they are to rent, according to Trulia.com data cited by BusinessWeek.
Queens joins the Bronx as New York City boroughs where buying is cheaper than renting and pushes the New York City market as a whole to favor buyers. New York City includes the five boroughs, Nassau County, Westchester, and Hudson and Bergen counties in New Jersey.
That flip made renting more expensive in 98 of the 100 national markets Trulia tracks, up from 97 last year. While nationwide home values have fallen 30 percent since their peak, apartment rents are at their highest since 2008. Only San Francisco and Honoloulu are better for buyers.
Trulia’s data is based on price-to-rent ratios in 100 markets from Dec. 1, 2011 to Feb. 28, 2012. In the New York City market the price-to-rent ratio was calculated at 14.5, where any number less than 15 indicates it makes sense to buy if the buyer is planning on staying put for five years. New York had the third highest ratio in the country.
As for the boroughs, the ratio was 20 in Manhattan, 15.7 Brooklyn, 15.3 in Statien Island, 13.6 in Queens and 10.9 in the Bronx. [BusinessWeek]