Renting is cheaper than owning in New Orleans
Add Axios as your preferred source to
see more of our stories on Google.
Renting is cheaper than owning a home in New Orleans, according to a new LendingTree analysis.
Why it matters: Housing costs have soared nationwide, with stubbornly high home prices and mortgage rates weighing on would-be buyers.
The big picture: The median monthly gross rent in New Orleans was $1,262 in 2024, based on the latest available census data, compared to $1,972 a month for mortgaged homes.
- That's a 60% gap — one of the widest gaps among large U.S. cities.
- Nationally, homeowners with a mortgage now pay about 37% more per month than renters, researchers found.
- The gap widened from the year before as homeownership costs rose faster than rents.
Zoom in: The figures include utilities, fees and taxes, but not insurance.
- Louisiana consistently ranks among the most expensive states for coverage.
- Last year, homeowners here paid $6,274 on average in annual premiums, according to Bankrate.
- In the New Orleans area, homeowners spend nearly 17.5% of their median annual income on home coverage, Bankrate found.
What they're saying: "The cost disparity here could be enough to convince someone that they'll never be able to own a home in some areas, and — unfortunately — they may be right," said Matt Schulz, LendingTree's chief consumer finance analyst, in a statement.
- Homebuyers may have to move elsewhere to find a place within reach, he says.
What we're watching: President Trump proposed a raft of policies meant to lower mortgage rates and boost homebuying demand.
- Gov. Jeff Landry signed into law a few industry-friendly bills aimed at lowering insurance costs by bringing more insurers to the state, writes Axios' Chelsea Brasted.
- But making housing more affordable is easier said than done.