I predict that homeownership will continue to decline through 2030. Recent statistics and the attitude of the general public back me up.
This makes me certain that I have a good leg to stand on. More and more people are seeing that buying a house is a bad deal.
So, if you don’t think that America is becoming a renter nation, you haven’t been paying attention.
These are the reasons why homeownership will continue to decline through 2030.
Statistics on homeownership decline
There are tons of interesting calculators that you can put in your income, expenses, etc. and they’ll tell you whether owning a home will save you money in the long run.
First, all of those calculators are on websites banks own! Of course, they want you to have debt they make a profit on.
People lie, numbers don’t.
These are just a couple of numbers I took note of that reinforced my prediction this trend will continue through 2030.
- In January 2022, foreclosures skyrocketed 29% after the emergency pandemic relief expired.
- So far this year, 4,784 homes were repossessed and the process was started on 11,854 more at the time of writing this article.
If you do the math of homeownership yourself — instead of the bank’s calculator — it’s blatantly clear that it’s more expensive than renting.
People think that the appreciation of their house is going to turn into profits when they sell that property. Even if the appreciation on your home remains steady, all of the money you’ve spent on taxes, repairs, and interest negates all that.
I’m not blind to this and neither is the rest of the population.
Becoming more rational, not emotional
Buying a house is an emotional thing, not a rational thing.
Any house I have bought in the past has been because I was totally in love with it or the location. Owning a home was sold to us all as the American Dream, but people are waking up to the fact that that was all it was. A dream.
Americans don’t want to stay in the same place for 12 to 30 years anymore as they did in previous generations. They don’t love any place that much. And if they do, they start wanting to leave after a few years.
With renting, they take none of the risks of property taxes. They call the manager when something breaks. And they can leave when their lease is up. It is a no-brainer for people today.
I know that I have to end this article by saying that this continued decline in homeownership through 2030 is just an opinion. Still, I don’t think my opinion is too far off.
You are just going to have to check back with me occasionally through 2030 to see if I was right.
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