The cost of homeownership keeps rising. Here’s how it compares with renting in Pittsburgh

PITTSBURGH — For years, owning a home was considered the de facto route to building wealth in America. But after years of rising prices, owning may no longer be the smartest financial move, especially in high-cost coastal metros where buyers may hit retirement before recouping the value of that overall investment as opposed to renting.

That’s according to new data from Zillow, which found that homebuyers could potentially recoup as much value as renters within 15 years nationally. That’s because, on a nationwide scale, a household takes 8.5 years to save 10% of its median income to put toward a 20% down payment on a typical single-family home, and then it takes another 6.2 years for that home purchase to pay off more than renting a typical single-family home, according to the Zillow analysis. But those timelines range depending on the market.

“Elevated prices raise the savings hurdle, while higher mortgage rates increase carrying costs,” Zillow economist Kara Ng said. “But the market does respond and adapt.”