According to a Securitization Weekly Overview published by the Bank of America-Merrill Lynch, a shift toward home renting rather than home buying is emerging. This has caught the eye of industry watchers at the National Apartment Association, which recently published a digested copy of the report discussed by the industry news provider Housing Wire.
The Bank of America-Merrill Lynch report cites a single factor as the major contributor to this development in the housing market—the entrance of younger Americans looking for their slice of independence.
The younger crowd, the report suggests, are expected to enter the market as home renters rather than home buyers, driven by a desire to leave their parents’ homes or the shared apartments they spent the recession years in. However, lacking the momentum to go straight into homeownership because of job constraints and the inability to obtain mortgages, this demographic is most likely to opt for renting multifamily dwellings.
This scenario, however, is expected to put some strain on the market, especially as spring and summer roll in this year. In order to secure the best deals, families looking for comfortable apartments in Temecula are advised to take this into account.
The two seasons mentioned are prime time for apartment seekers, who flood the market in search of homes while the weather is favorable for moving. Taking this into consideration, apartment searchers are advised to act quickly to secure top-quality Temecula apartments, like those offered by Sycamore Terrace Apartments, before buyers snatch them up during the peak season.
(Source: NAA Industry Insider: The Shift Is on From Home Buying to Home Renting, NAAHQ.org, January 20, 2014)