For the first time in years, buying a home may beat renting an apartment. The first reason is that rents, though mostly stagnant the past few years, are expected to head higher as more people bitten by the housing bust turn to renting. The second reason is that home prices have finally dropped enough to create a buying opportunity. Nationally, home prices are down 32% from their peak, set in 2006. You do, however, have to stay in your new home for at least eight years. Renting in the past has usually come out ahead and buying usually leads to higher monthly and annual bills once all cost are factored in--mortgage payments, property taxes, maintenance and transactional costs. Those higher costs can be offset if the home gains value in time. Renters, in the meantime, are just as likely to spend their savings. They'll wind up with less money than homeowners, which is  why a lot of people claim renting is "just throwing your money away!"

Blog inspired by article written by Les Christie featured on CNNMoney and can be seen here:  http://money.cnn.com/2011/05/13/real_estate/rent_not_buy/index.htm