In a shifting housing market where homeownership has long been considered the pinnacle of the American Dream, a growing number of individuals are opting for the flexibility and freedom of renting. According to a recent Entrata survey, one-third of renters are choosing to forgo purchasing a home, even if they have the financial means to do so. Bernadette Joy, founder of Crush Your Money Goals and a member of the CNET Money Expert Review Board, is one of these renters.
Having bought and sold three homes in the past, Joy and her husband recently made the decision to sell all their properties and embrace the lifestyle of renting. Reflecting on their past experiences with homeownership and real estate investing, Joy realized that they had made the mistake of buying a home out of obligation rather than genuine desire in 2013. She explained, “I got a job. I got married. So the next step was to buy a house. That’s what you’re supposed to do.”
As the housing market continues to be marked by high mortgage rates and steep home prices, many individuals are finding themselves priced out of homeownership and are turning to renting as a more viable option. Joy’s story highlights a growing trend of renters who are choosing to prioritize financial freedom and flexibility over property ownership.
Joy advises individuals not to let the current housing market pressure them into making rushed decisions about homeownership. With homes selling quickly and prices soaring, many buyers are jumping into the market without considering their long-term needs and financial situation. Joy emphasizes the importance of taking the time to find the right home that suits your lifestyle and budget, rather than succumbing to societal pressures.
While homeownership is often viewed as a solid long-term investment, Joy warns against making risky decisions solely to fulfill societal expectations. She stresses the importance of making a realistic budget, including a 20% down payment, and considering all the costs associated with owning a home, such as maintenance and insurance. Joy herself has found that renting allows her the freedom to prioritize other activities and experiences without the added burden of homeownership responsibilities.
Ultimately, Joy’s story serves as a reminder that there is no shame in choosing to rent over buying a home if it aligns with your lifestyle and financial goals. As more individuals opt for renting for the sake of financial security and flexibility, the societal value placed on homeownership is undergoing a transformation. Joy encourages individuals to take their time, do their research, and make a decision that is right for them, rather than succumbing to external pressures.