Rent or Buy? :: That is the question...

To rent or to buy?

This existential quandary has recently been answered by Trulia.com, a self-described "smart real estate search" site. They calculated the price-to-rent ratio in the 50 largest American cities by comparing the average list price with average rent on two-bedroom apartments, condos and townhomes.

The findings are surprising. According to Pete Flint, Trulia CEO, "At the peak of the real estate bubble, cities like Miami, Phoenix and Las Vegas were not affordable for many. Now the opposite is true. Home sellers in these hard hit areas are forced to lower their prices to compete with all the foreclosures on the market. As a result, these unattainable markets are so affordable it makes better financial sense to buy than rent."

Only two EDGE portals made the buy vs. rent list: Miami and Las Vegas. Four (New York, San Francisco, Dallas, and San Diego--the latter covered by our Los Angeles edition) offer more favorable rental scenarios.

Of course, there are many other factors to take into account when considering whether to rent or buy. These include the stability of your job; your commitment to remaining in a given geographical area; and your long-term lifestyle and financial goals.

That said, Trulia's analysis may provide useful info indeed on whether to rent or buy, either in your current city or the one of your dreams.