More Americans Decide To Rent Rather Than Buy A Home

It looks like more and more people are living the rental life. Ever since the housing bubble burst ten years ago, more U.S. households are run by renters than any other point since 1965. 

According to a new study from the Pew Research Center, more than 36 percent of U.S. households are now headed by renters. That's an increase from 31 percent in 2006. The Pew Research Center used housing data from Census Bureau from the last ten years to better understand the lingering effects of the housing crisis. 

The total number of households in the United States grew by 7.6 million over the ten year period between 2006 and 2016. But according to Pew, the number of those households headed by owners remained effectively flat, most likely because of the remaining hangover of the recession. 

The study also showed that certain demographics like young adults, nonwhites, and less educated continue to be the most likely to rent, with more than 65 percent of those under 35 renting. That's up from 57 percent in 2006. 

Why are there more renters than homebuyers? According to Pew, it's because of more people are finding it difficult to qualify for a mortgage, younger students have higher debt loads (like student debt), and a recovering housing market that's seeing higher prices for homes.

While more people are finding the rental life to be their cup of tea, that doesn't mean they don't want to own a home someday. When asked, 72 percent of survey respondents said they would like to buy a house in the future. 


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