JACKSONVILLE, Fla. – Renting a starter home continues to be more affordable than buying one, according to new data from Realtor.com.
The national report shows renters are saving an average of $900 a month compared to what they’d pay with a mortgage. In Jacksonville, that affordability gap is on full display.
For Joe and Andrea Biederman, the dream of homeownership remains just out of reach, even after years of saving.
“Several years we’ve been putting money away and holding on to it,” Andrea said.
The couple has been actively searching for a home and even put in a few offers. But once they factored in insurance, taxes, and homeowners association (HOA) fees, the monthly costs no longer made sense.
“Before we moved into this home, we put some offers in… and that’s where we learned about the insurance, the property taxes, and the HOA fees,” Joe said. “Very quickly, the affordable monthly became an unaffordable monthly.”
Andrea echoed that sentiment, saying they ultimately chose to rent after realizing the numbers simply didn’t work. They also picked up an extra side job to keep saving money to put towards the down payment.
“A few years ago, at the time, we just couldn’t make it work… and we found this great rental so it works for us,” she said.
“Our belts are pretty tight, you know,” Joe added. “We’re not taking extravagant vacations, and I feel like we’re doing all the right things.”
According to Realtor.com , the average rent for a two-bedroom home in Jacksonville is $1,503. The average mortgage payment? More than $2,000. That’s a difference of $572 every month, or 38% more to buy than to rent.
“It was the difference between $2,500 in rent versus $4,000 in a mortgage,” Andrea said. “The $2,500 looks so much better on paper than paying $4,000 and strapping ourselves.”
While the Biedermans say they can afford a down payment and other closing costs, the monthly expenses remain a barrier.
“Making that monthly payment happen with all the other bills we have? That’s where it doesn’t make sense,” Joe said. “We feel like we’ve done everything that we were told to do and that you’re supposed to do, and more.”
Still, the desire to own a home and build equity hasn’t faded. The numbers tell a story of a growing affordability crisis and a financial reality facing many first-time buyers.
“We want to make it our own,” Joe said. “We’d love to have that as an asset.”
“And a proper retirement plan, I feel like that’s the ultimate goal,” Andrea added.
