Despite challenges in affordability and inventory, renters in California still yearn to become homeowners one day. This is according to a new consumer survey released by the California Association of Realtors last week. The survey found that approximately half of California's renters rated homeownership as very important or extremely important and that four out of five renters want to own a home in the future.
Respondents to the survey see the financial benefits of homeownership as well with 21 percent saying homeownership is a good long-term investment.
Studies of renter demographics show that renters in southern California spend upwards of half of their monthly income on rent suggesting that even in tough market conditions, homeownership may still be more economical than renting.
Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 4.75 percent, 15-year rates are near 4.125 percent and the 5-year ARM is averaging 4.375 percent.
Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.