Recent headlines have indicated that many markets show a better buying scenario when compared to rental costs. A recent report by Zillow studied the breakeven horizon for buying vs. renting in major markets across the country. The idea is that if buyers plan on staying in a home past the breakeven horizon, it becomes more financially advantageous to buy a property instead of renting.
So what does this scenario look like in Santa Barbara County? Montecito has the longest breakeven horizon at 5.7 years, comparable to other high dollar markets like Manhattan. Santa Barbara came in at a projected 4.7 years. Zillow took into consideration all costs associated with buying a home and renting the same property to determine their breakeven horizon.