People have good reasons for renting, and they have some bad ones, too. The following is the first on a list of common reasons people state for wanting to rent, followed by a professionally-informed opinion about the validity of the reason.
Reason #1 : "Homes are too expensive."
One of the main things people learn as they become saavy at money management is how to look at money over time. This is extremely important, and unless someone hands you a bunch of money (and even then, really), you're not going to move ahead financially without at least a basic understanding of the way money works over time. Let's take a look at historic home values.
Here's a chart showing inflation-adjusted U.S. median home prices from 1963 to 2025. It illustrates how home values have grown significantly over the decades, especially in recent years.
The line chart tracks the inflation-adjusted median home prices in the United States using selected data points from 1963 to 2025. Here's a breakdown of the key insights:
🏠 U.S. Median Home Prices (Inflation-Adjusted)
- 1963: $98,000
- 1970: $110,000
- 1980: $160,000
- 1990: $210,000
- 2000: $240,000
- 2010: $280,000
- 2020: $360,000
- 2025: $512,800
Indeed, homes have gotten expensive. This is true. However, despite the occasional up-and-down flux of home values, it is clear that home values go up over time. Thus, when people who have significant home equity are asked when they wish they would have bought, the nearly universal reply is, "sooner."
I hope you've enjoyed this first blog in my series, "Renting vs. Owning: Myths and Facts." Since we all have the attention span of unpopped popcorn in hot oil, I'm wrapping up here. Share this with a friend and subscribe below to receive future blogs and discover the other 4 most common myths and facts about home ownership.
As always, contact me to schedule your own, personal rent v. buy analysis, complete with a geeky spreadsheet you'll love, though probably not as much as I do. I'll admit, it'll be a little bit fun to see you squirm when you take your rent times 12 times 5, 10, 20, and even *gasp* 30. Plus, I enjoy spreadsheets way...too...much.
