South Floridians may be scratching their heads right now and asking themselves whether now is the right time to buy a home or continue to rent. It’s a question that not only residents of South Florida are pondering, but individuals across the country are wondering. According to Trulia, the pondering for those individuals living in Miami ends today. The answer is that now is one of the best times to buy because Miami homes are some of the most affordable in the nation.

Mortgage Payments Cheaper than Rent

Because Miami is one of the hardest hit areas of the country in the housing decline and economic downturn, it also has some of the lowest housing prices. When you compare what mortgage payments would be with the market rates on rent, it’s true that homebuyers and homeowners can find themselves paying less than if they were to rent a place to live instead.

This phenomenon is creating a switch in the housing market, where renters are turning into homeowners and homeowners are turning into renters. Individuals that have been renting for years now see their opportunity to become a homeowner because houses are priced at levels they can finally afford. Homeowners, on the other hand, have found themselves in default and foreclosure, which is sending them from their homes to apartment complexes or homes they can only afford to rent.

Employment

Employment, or rather unemployment, is another problem sweeping across South Florida. With one of the highest unemployment rates the city has had in decades, the loss and lack of jobs is perpetuating the problem. Homeowners that bought beyond their means are now choosing feeding their families over paying their mortgages.

Supply and Demand

The basic rule of supply and demand also plays a role in the Miami housing market. Miami took one of the biggest hits in housing market values because it was one of the cities that also experienced some of highest increases in values during the boom. With more and more houses going on the market daily, there is a bigger inventory of houses available, which in turn drives the price of homes down. It’s back to the basics of economics—supply and demand.

Whether you live in Miami or want to, now may be the best time to look into becoming a homeowner.

With some of the most affordable houses in the country, Miami is transforming into one of the most affordable cities in the country to realize the American dream of owning a home.