High home prices have resulted in more households choosing or being forced to rent, especially in America’s largest cities including San Diego. The growing number of people choosing leases over loans has resulted in renters increasing in each of the 50 largest cities in the U.S. since 2006. As of June 2018, 35.7 percent of all occupied homes nationwide were rented, according to Zillow. This is up from 31.1 percent in 2006 and 32.5 percent in 2000.
In many large cities, where home prices are more expensive, renters have come to outnumber homeowners. 69.9 percent of homes in Miami are rented – the highest among the top 50 cities. This was followed by New York (68 percent), Boston (65 percent) and Los Angeles (64.1 percent). In San Diego, 54.3 percent of households are renters.
In total, 29 of the top 50 markets had more renters than owners.
Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 4.5 percent, 15-year rates are near 4.0 percent and the 5-year ARM is averaging 4.125 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.