Renting – The Immediate Future Of Housing?

FirstTuesdayJournal.com came out with an article yesterday that reinforced something that I’ve said for quite awhile now:




If renting is the more financially feasible option, leaves a person more money to provide for their family, and more freedom to move where jobs are, why is it that so many people in this country are so adamantly against renting?



Please see my previous blog post “Truth In Lending, Truth In Renting” for more.



It’s a long winded article, but it does make some very good points. If you have the time to read the whole thing you can click here to get it.



To summarize, the article talks about the decreasing home ownership rate in America, and how many people are going to have to rent for the foreseeable future in order to find work, save money, and rebuild credit before buying again (if they ever do, particularly if they just lost a home to foreclosure, which is another very good point).



While the article wasn’t necessarily upbeat, I took it as a positive. Just as the stigma of Strategic Defaults is gradually fading away as it gets more press coverage, so should renting. Renting is a viable option that allows individuals and families alike to live in nicer houses without huge tax, insurance, hoa and maintenance fees.



I tend to think that as more & more people have to move to find work, can no longer afford their homes or choose not to pay for them, that we will start to shift from a mindset of home ownership as “The American Dream” to one of financial stability and ability to save, and until home prices fall in line with rents and incomes, renting will allow for that much better than buying will.



Jon Maddux



CEO