Renting On The Rise | Video| 10/4/2011
According to census bureau stats, the number of homeowners is at its lowest point since 1998,
Which explains why there`s a rise in the number of people renting instead of buying.
"Obviously, the economic conditions are playing into it, but when we ask those people why they`re choosing to rent instead of buying another home, they were citing things like the flexibility that comes with living in an apartment," says Apartments.com vice president Chris Brown.
"After the past few years, there are some people who are certainly questioning whether home ownership is right for them," adds Trulia economist Jed Kolko.
Investors are snapping up homes and converting them into rentals.
Nearly a quarter of the existing homes sold in august were purchased by investors.
Advocates also argue renting is attractive now because of the comparatively quick out it provides.
"You can sign a 12 month lease, you can in some cases have out clauses or even shorter leases if you`re looking for that flexibility," Brown notes.
Demand for a rental is so high that landlords are raising the rent by as much as 4% this year.