According to Trulia’s Summer 2012 Rent vs. Buy Report, buying became cheaper than renting in all of the 100 largest U.S. metropolitan areas. To determine this, Trulia used several factors that will not apply in all instances: a 3.5 percent mortgage, itemized deductions at the 25 percent federal tax bracket and a seven-year time horizon. The Trulia report ranked home-ownership affordability highest in Detroit, where the cost savings of owning over renting amounted to 70 percent. In Los Angeles, the difference dropped to 32 percent—still, home-ownership represents a savings over renting. “If buying a home is cheaper than renting in every major metro and makes financial sense in most situations, then why aren't more people buying? The reason is because many people can’t take advantage of today’s affordability,” said Jed Kolko, Trulia’s chief economist. “It takes years to save enough for a down payment, ...