A Shift from Home Ownership to Renting

In the America of 50 years ago — or for that matter, 10 years ago — the American Dream could be boiled down to one thing: the ability to own your own home. For generations, Americans have seen home ownership as an essential part of success. But in the wake of the housing crash, national opinions about homeownership are shifting, and more and more people across the country are turning to renting.

A recent survey found that while three out of four renters still aspire to own a home at some point in their lives, nearly half of all current homeowners see themselves renting in the future. The survey-takers found overwhelmingly that homeownership is no longer the ideal. Many Americans see home ownership as too risky and not worth the commitment.

The survey-takers found that 57% of adults believe that home buying has become less appealing, and 54% believe that renting has become more appealing. The idea of renting a home is clearly losing its stigma as more and more people are choosing to forgo the financial obligations of home ownership in favor of the flexibility of renting. The study also found that 45% of respondents, including both homeowners and renters, had experienced a time in their life when their housing situation was not stable and secure. With so many people feeling uneasy in their housing situation, the appeal of renting becomes evident.

As a property investor, the question for you becomes, “What does the rise in renters mean for my property investments?”

The housing market is still clearly on the rise across the country, and markets in California are doing particularly well. Despite lack of trust amongst many Americans, home ownership is still one of the absolute best investment options available. One way that property investors are making the best of both sides of the equation is with Buy & Hold loans. With a Buy & Hold loan from ZINC Financial, you can purchase a rental property for 48 to 64 months, earn rental income throughout the life of your loan, and also accumulate an additional 8-15% on your investment when you resell the property. With a solid plan and a trusted private money lender, real estate entrepreneurs make capital throughout the life of their investment in addition to the closing profits.

To learn more about how you can take advantage of the current renter’s market, contact ZINC Financial today by calling (559) 326-2509.