PROS

Single payment. few hidden costs.

Something breaks, call the landlord.

Bottom line, less responsibility.

CONS

Typically, less space for same money,

Poorer property condition,

Higher neighbor turnover

Buy

PROS

Mortgage Payment usually includes equity, so it is like a savings account.

(taxes and mortgage interest payments could lower your taxable income so ask your tax advisor, accountant, etc.)

You get the benefit of Appreciation. It adds to you bottom line.  There is a tax exclusion for Appreciation in your house -- $250,000 in appreciation ($500,000 if you are married), not a deferred tax, an exclusion!.  

It was recently reported approximately 3.9% per year appreciation since 1998.

As a homeowner, there is a greater sense of accomplishment.  After all, it is "The American Dream"

CONS

More responsibility.

A homeowner is responsible for maintenance and repairs. (a home warranty company can minimize surprises).  Unless the home is a condominium, a management company does not take care of things like cutting the grass, pest control and tending the garden.

Investment risk: changes in market conditions can adversely effect value of property.

Lower mobility, selling a home is more of a task than turning in a notice to vacate.