For many in Los Angeles and across the country, high mortgage rates and rising prices have made renting feel like the safer option. But while renting might seem more affordable month to month, it could cost you more in the long run.

Renting Feels Easier—But It Comes at a Price

Renting can offer flexibility, fewer responsibilities, and sometimes a lower payment—but it doesn’t help you build wealth. A recent Bank of America study found 70% of renters are worried about how renting will impact their long-term financial future—and they’re right to be concerned.

Homeownership Builds Wealth Over Time

Homeownership isn’t just about having a place to live. It’s one of the most effective wealth-building strategies in the U.S. Why? Because home values typically appreciate over time. Take a look at this long-term trend:

Even through economic ups and downs, home prices continue to rise. And as a homeowner, that price growth becomes your equity.

The Wealth Gap Between Renters and Homeowners Is Shocking

The average homeowner has a net worth of $396,500, while the average renter has only $10,410, according to the Federal Reserve.

That’s nearly 40x more wealth—all because homeowners are building equity instead of paying someone else’s mortgage.

Rents Keep Rising—And Don’t Build Equity

Let’s face it: rent doesn’t come back to you. It helps your landlord build wealth, not you. And while it may feel like you’re saving in the short term, rents have steadily increased for decades.

Rising rents make it harder to save for a future home—and they eat away at your financial stability.

Renting vs. Buying: What Really Matters

When you rent, your money is gone.
When you own, your payment builds your net worth.

As Joel Berner, Senior Economist at Realtor.com, puts it:

“Renting may feel easier today, but buying a home can build equity and generational wealth that renting can’t.”

Bottom Line

If buying feels out of reach today, that’s okay—but don’t count yourself out.
Let’s create a personalized plan to help you break the rental cycle and start building long-term wealth through homeownership.

Let’s talk today about your first step toward owning a home.