A staggering 84% of Gen Z Americans say they're satisfied with renting and almost half of American renters say it has enhanced their quality of life, flipping the perception of home ownership as part of the American Dream on its head.
A report by U.S. property behemoth Cortland, which has US$20.3 billion in property assets across the country, showed that out of 1,000 adult renters in the United States generations across the board have indicated that they are at least somewhat satisfied with their current renting situation as an alternative.
84% of Gen Z and 81% of millennials agree, while among the older generations, 71% of Gen X and older prefer renting over buying a home and all it necessitates.
Top reasons given by respondents for choosing to rent were affordability (59%), location convenience (51%), and maintenance/support (49%).
Those who intend to be lifelong renters report higher expectations for rental properties (53%), and renters overall generally believe renting can meet their needs and preferences in a similar way to homeownership (49%).
A third of renters who feel renting has enhanced their quality of life attribute the improvement to a sense of community (34%).
Lack of affordability
And in terms of outlook for young adults, nearly half (41%) of Gen Z and millennial renters were unsure or doubtful about homeownership feasibility because of the financial costs associated.
Barriers to homeownership include high housing costs (58%), rising living expenses (52%), and a lack of savings (46%).
And quite starkly, those who've owned at least one property were 52% more likely than those who have never owned a home to indicate renting has increased their quality of life.
Cortland chief experience officer Mike Gomes says the evolution in housing preferences marks a critical moment for the property industry. This is driving Cortland to tailor its property developments more towards the rental market.
"[We're looking] to meet the needs of a diverse renter population seeking adaptable living options, ease of access and a sense of belonging from their living arrangements," Gomes says.
“As attitudes shift, Cortland continues to leverage data-driven insights to tailor our offerings and improve our service delivery, aiming to go above and beyond expectations to enrich the lives of Americans who choose renting as their housing solution.”
