(NewsNation) — Americans are staying in their rental properties longer than they were a decade ago thanks to the advent of remote work and soaring housing costs that remain out of reach for many, according to a Redfin report.
Although most renters in the United States move within 5 years, one in six now live in the same home for 10 years or more, according to the report published Friday.
“While the fact that people are staying longer in their rentals may mean they can’t afford to buy a home in today’s market, staying put also means they’re saving some money that could eventually go toward a down payment if they do have a goal of homeownership,” Redfin Senior Economist Sheharyar Bokhari said in a statement.
They’re also likely to face smaller rent increases, she added.
Renting longer term may not be everyone’s first choice, but many renters are priced out of homeownership as the median U.S. price of a home has more than doubled since 2012 and increased 40% since 2019.
Mortgage rates are approaching two-decade highs, making it harder for renters to save enough for a down payment on a house.
Rental prices have also risen, however, and with fewer homes for sale in the U.S. than there were a decade ago, saving for a space of their own is increasingly challenging, according to the report.
Despite their longer tenures, renters do move more frequently than homeowners.
Renters move most often in Austin, Texas, where 38% of of people reported staying put for as many as 12 months.
Renters in New York are less likely to roam, with 15.8% moving within the past 12 months, according to the report.