You would probably come out far ahead taking the money you would have paid on the down payment and house maintainance and invested in the stock market.
Tends to be much MUCH better return wise versus homes.
In the US, mortgage interest is tax deductible whereas rent is not. The more you earn (and thus the higher your tax bracket) the more this subsidy is worth.
The other big factor is inflation. Rent will increase every year while your mortgage payments will stay at the same nominal value. Admittedly inflation is much less of a thing now, but in the past it made owning a home hugely more worthwhile.
However, it's much easier for an ordinary person to borrow hundreds of thousands of pounds to invest in the property market than it is to borrow that sort of money to invest in the stock market. The leverage makes up for the lower rate of return.
Better returns directly on the money (given historical averages hold) yes. You also have to consider I'm locking in my monthly housing cost in 2016 prices (until I pay off the mortgage that is, then I merely have to pay property taxes) also I can make improvements to my standard of living that renters can't. If I want a hot tub, I simply install one rather than having to find an apartment with one and paying a massive monthly premium for it. Rent for a decent one bedroom in my area is $1200 a month, my mortgage is $1120 (taxes and insurance included) and that gives me 3 bedrooms and a yard. For me this was the better choice.
