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Nationally, more than 1.35 million households that earned at least $ 150,000 per year became renters between 2007 and 2017. While they can afford a home, most economically well-off Americans prefer to rent a house.

The number of US households earning at least $ 150,000 per year who choose to rent rather than buy a home increased 175 percent between 2007 and 2017, according to an analysis of apartment search site RentCafe, which uses data from the Census Bureau.

This type of wealthy tenant contradicts the long-held assumption that Americans are renting housing primarily because they can’t afford a home.

Lifestyle played an important part in their decision to rent, “study author Alexandra Ciuntu told VOA by email.

“Renting in multiple cities at once is something special, as is moving from one trendy location to another.”

Business and technology centers such as the cities of San Francisco and Seattle have the largest number of wealthy people who rent their homes.

“With house prices rising, it looks like it’s a better decision that can be verified to rent for longer,” said Ciuntu.

“Given that in the city of San Francisco, for example, $ 200,000 you buy only 260 square meters of land, it is understandable why these top earners are seriously renting out (this residence), before deciding whether to invest in the property or not. “

In fact, in both the city of San Francisco and New York, the number of rich people who rented houses outnumbered the rich who bought (owners) houses. New York City’s high-income tenants number around 250,000, more than anywhere else in the country.

“Ten years ago we would have linked ownership (wealth) of real estate with the stability of life, whereas the two did not have to be linked today,” said Ciuntu.

“Renting is proving to be a more flexible option for those who enjoy a dynamic and wealthy lifestyle. From a more millennial perspective, this is no longer a quick fix before settling down, but an interesting world of ‘possibilities’,” he added.

However, this enthusiasm for renting a house does not mean that wealthy, high-income people reject home ownership, according to Ciuntu.

Between 2007 and 2017, Chicago increased the number of wealthy people who owned 9,800 more homes than high-income tenants, in the city of Seattle the number of wealthy people bought 13,400 more homes than renters, while in Denver nearly 18,000 more property buyers in Denver compared to tenants. tenants.

Source : Okezone

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