Are renters of today worse off than their parents? Examining rental and household income growth going back to 1960.
ByThe rental revolution continues unabated in this country. While everyone is now trying to be on the home buying train, sales figures don’t really reflect a major shift. Desires don’t always coincide with what the market is doing. Prices are largely being driven by tight inventory, investors, and low interest rates. Prices can be boosted by low rates but rents need to be paid out through real earned income. This is important to understand especially in Los Angeles County with 10 million people and the majority of households actually being renters. The reality is, today’s renters are worse off than their parents. Over the last decade we’ve added 10 million renter households while homeownership has been stagnant – largely by 7 million completed foreclosures. How bad has the rental situation gotten?…
