July 10, 2016
There is a growing number of middle-class Gainesville residents who are choosing to rent instead of purchase a home, whether it is due to financial reasons, because of a lifestyle choice, or just due to Gainesville’s transient nature as a college town. The rental numbers have been up ever since the housing crash ten years ago, and they just keep climbing.
Typically, middle-aged adults are historically more likely to own homes than to rent homes. However, Gainesville is in the top 20% of nationwide metro areas where adults reaching middle-age are renting homes rather than buying homes. Recent data shows that rental properties are home to larger households and the growing share of rental properties are single-family homes. The number of single-family homes among all rental properties in Gainesville has risen from 2.8% in 2006 to a whopping 28.2% in 2014.
Even though the steadily rising rental costs are giving people a reason to purchase homes and pay less in a monthly mortgage than they would pay in rent, many people are unable to buy a home, either because of poor credit, lack of a down payment or employment troubles.
Moreover, there has been a growing divide between renters and homeowners. Many people who already own their homes have been able to refinance in order to benefit from low mortgage interest rates that allow them to lower their monthly costs. Renters, however, have seen higher rental costs while wages have not kept pace, making it harder to save money for a down payment.
However, many renters choose to rent because of the lifestyle it provides rather than as a result of financial troubles. People don't necessarily want the hassle and responsibility that comes with homeownership. When renting, it is nice for many to have somebody else to take care of the majority of the property. There are also perks to apartment living, such as amenities like a fitness center or pool, as well as easy accessibility to retail, coffee shops and other conveniences.
For more details and info on the rental boom in Gainesville, read the full article at Gainesville.com.
