76 Percent Believe Renting Better Option Than Homeownership

May 27, 2010 No Comments »

rent

Despite mortgage rates hovering near record lows and home prices well off recent highs (but still expensive), many Americans still seem to be unconvinced.

A new survey conducted by the National Apartment Association and Harris Interactive found that 76 of consumers deem renting more favorable than owning a home in the current market.

That’s up five percent from 2008, and may point to low consumer confidence with regard to the housing market.

“While some may want to declare the housing crisis over, consumer patterns of behavior are showing otherwise,” said National Apartment Association (NAA) President Douglas Culkin, in a press release.

“The findings in this survey mirror what our members are seeing throughout the country, especially in areas of the country that are experiencing the first signs of economic recovery.”

Of those who favor renting over buying, 64 percent cited having no responsibility to pay for major repairs or maintenance as the primary reason, while 50 percent cited financial reasons such as not being impacted by the unpredictable real estate market.

Finally, 33 percent favor renting over owning because it spares you from potential foreclosure.

Only 12 percent of current renters surveyed plan to purchase a home this year, while 71 percent of current homeowners plan to stay put over the next year.

Interestingly, the survey respondents included 1,443 who own their primary residence and 617 who rent.

Sounds like there are a lot of disgruntled homeowners out there…maybe they didn’t get their mortgage interest deduction.

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