Demand for Apartments is Surging Because Young Americans Think It’s Cheaper to Rent
July 9, 2019
Demand for rental units in the second quarter was up 11 percent over the same period last year. The surge in demand was unexpected for some economists, who anticipated the demand for apartments to wane as millennials enter traditional homebuying ages.
The strong demand pushed rent prices 3 percent higher, for a national average of $1,390. Despite this increase, more consumers still feel that renting is more affordable than buying. Low affordability in the housing market has many buyers feeling priced out. A recent survey from Freddie Mac showed that 82 percent of renters say renting is more affordable than buying.