Housing rent costs more than buying own home

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BUYING a house in Sheffield is cheaper than renting a property in the city, according to new figures.

Average monthly rents in the city are over 10 per cent higher than average monthly mortgage instalments, the study found.

Rents have increased due to high demand in the sector, as would-be buyers have struggled to get on the property ladder after needing large deposits or finding the terms of mortgage deals too restrictive.

Elsewhere in South Yorkshire, buying a house in Barnsley was even more sensible, with the average monthly rent of £440 more than 20 per cent higher than paying a mortgage.

The picture was the same in Rotherham, where the average rent of £480 was 20 per cent more expensive than a mortgage, while Doncaster’s average rent of £489 was 14 per cent higher than a mortgage.

Average rents in Sheffield were £558.

The figures showed that, nationwide, buying was better than renting in 47 of the 50 largest towns and cities, an increase on a similar study last year.

Swansea, Plymouth and Bournemouth were the only three locations where renting worked out cheaper.

Nicholas Leeming, from property website Zoopla which compiled the figures, said: “For those lucky enough to be in a position to get a mortgage, there may never be a better time to buy.”