CAR, comparing rent vs buy between 2004-2010 is similar to compiring it between 1999-2005, but with a different result. We can all agree that buying in 2004 doesn’t make sense. However, to make a blanket statement of waiting is better than buy today is pretty bad. As pemeliza said, many area already reached rent parity or got even cheaper than rent.
BTW, are you saying that a $700k house in NCC in 2004-2005 only came down to $650k today?
Another question, why did you calculate rent vs PITI instead of rent vs ITI? Since P does not go into a black hole and never come out again. If you compare rent vs ITI (w/ tax deduction), the ITI (w/ tax deduction) would be $173k over 6 years. You’re also assuming that one would sell today. Why sell today near the bottom if you plan to live in it for longer? Wouldn’t it be smarter to keep it until you have it paid off or get more than you paid for it? Another question I have is, why is the maintenance so high? For $31k, I can completely gut a 2000 sq-ft house and replace the kitchen, 3 baths, all flooring, and roof w/ rental grade materials.
