The number of US renter households in the second quarter grew 1.9% year-over-year, according to a new data report from Redfin (NASDAQ:RDFN). The renter growth is more than three times faster than the number of homeowner households, which grew 0.6% in the second quarter to a record 86.3 million.
Growth in the number of renter households hit a peak of 2.8% in the first quarter of 2024, which marked the largest gain since 2015. Renter households have formed faster than homeowner households for three straight quarters, partly due to elevated homebuying costs compared to rental housing – the median apartment asking rent increased less than 1% year-over-year in June while the median monthly mortgage payment jumped roughly 5%.
Nationwide, just over one-third (34.4%) of households are in rental housing. Los Angeles has a rentership rate of 53%, the highest among the 75 largest metropolitan areas. Other metros with large percentage of renters include San Diego (52.4%) New York (50.1%), Fresno, CA (49%) and Austin (46.3%).
“The cost of both renting and buying a home has skyrocketed in recent years, but the affordability crunch isn’t quite as severe in the rental market. That’s because America has been building a lot of apartments to keep pace with robust demand from renters,” said Redfin Senior Economist Sheharyar Bokhari. “The country’s leaders should heed this lesson when considering how to improve affordability in the homebuying market: When there’s more housing to go around, prices don’t increase as fast.”
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maybe we need to go back to the lending days of nothing down and marginal credit qualify’s you for a home loan. Keep this up America you will have nothing for retirement and SS will be out of money for you since that will all be used for the national debit.
So we are building all the rental units based on high homeownership costs!!! When rates drop and the market shifts will rents plummet due to oversupply
I understand rates will come down, but the Fed and Realtors are talking about a .25 or .5 reduction of rates and the consumers are expecting a 2-3% drop. That’s not going to happen ny time soon
Maybe all should become aware of The Black Rock role in driving this and their connections to the WEF’s 2030 goals. Their goal is to own 2/3rds of all America’s homes and thus control the rental market and Americas wealth.
This will also create a communist state, something the Democrats have been working for basically since slavery ended. They lost their slaves and continued to try to subjugate black people through the KKK, Jim Crow, segregation, destroying black families with fatherless households receiving welfare payments, and failed schools in poverty plantations graduating black children who cannot read, write, and do simple math. This creates joblessness and crime. Now, the Democrats allowed an influx of illegal aliens to destroy the voting system so they can take control. Their intent, as Biden said out loud, is to “put them to work in the fields”. Democrats must have their slaves again and have control over our economic livelihoods. Vote Democrat and our country will be a communist one that replaces our Republic.
Cathy you are absolutely right. I am so surprised that people don’t see or talk about that. This is all planned out. Remember what they said: you won’t own anything and you’ll like it… that’s the grand finally…
I love these articles because the “do-gooders” think they have to fix every “problem” and save the world, usually with expansion of government. Also, remember what the leader of the globalists, Klaus Schwab said, “You will own nothing and like it.” Government IS the problem.
Elections Matter. Local, State, and Federal. We need to press local and state to write laws which prohibit corporations from owning 2/3 of the homes…like Black Rock. We are now becoming part of a portfolio vs. a home to raise our families, have relationships with neighbors, and skin in the game to improve neighborhoods.
Also, no land sales to China. I think even so far as to no sales, unless you are a permanent US citizen.
The next lending crisis will be in the multi family housing sector.