Auston Grove Apartments

1160 Auston Grove Drive, Raleigh, NC 27610
Call: 833-779-8856 Email UsAustonGrove.PropertySite.HHHunt@aptleasing.info View Map

Opens: Monday-Friday: 9A-6P | Saturday: 10A-5P | Sunday: 1P-5P

$800-$1250

Apartments Raleigh NC Blog

Many Renters Do Not Want to Buy a Home – Raleigh, NC

Joseph Coupal - Tuesday, January 28, 2014

With a wife and a 10-year-old daughter, a father and husband appears to be one of the likelier people to buy a house, but he has no interest in doing so.

Many renters are a part of a population of diehard renters that is growing as the rate of U.S. homeownership drops. There was a net loss of 162,000 owners between 2011 and 2012.

This is going on despite housing's impressive recent performance.

But professional investors are doing most of the buying. Individuals apparently have not reached the same comfort levels, and it is not clear when they will.

The National Association of Realtors forecasts renter households will increase by 5 million to 6 million over the next decade from the current level of just below 40 million.

Some people have no choice but to rent. Purchase prices once again have risen out of reach for some, and banks have been stingy in their lending practices after the housing market crashed following its 2006 peak.

Other people are avoiding homebuying for emotional reasons. The housing bust wiped away trillions in home equity, leaving many owing more than their houses were worth on the market and causing a number of people to wonder whether housing was actually a wise long-term investment.

The trauma of having lost their homes, or watching relatives or friends lose their homes, has certainly had an impact on the decisions of younger households and, in particular, first-time homebuyers.

This idea that homeownership is automatically a financial win is perplexingly unexamined. When you sit down and do the math, you often have to make unrealistically optimistic assumptions in order to come out ahead - including staying in that same home for a very long time.

According to CBRE's numbers, this may be making a smart financial decision. Given the average costs of renting versus buying, it often makes more sense to rent.

It just doesn't make any sense for some. They don't want to put themselves in debt, and they don't want to spend all their time and money fixing a home, or to be stuck in one place.

For more information on renting an apartment in Raleigh, NC, contact Auston Grove Apartments.

Reuters


Auston Grove Apartments

1160 Auston Grove Drive, Raleigh, NC 27610

Call: 833-779-8856
Email UsAustonGrove.PropertySite.HHHunt@aptleasing.info
View Map

Opens: Monday-Friday: 9A-6P | Saturday: 10A-5P | Sunday: 1P-5P

$800-$1250