Housing sentiment continues to be polarizing between renters and home owners. While renters continue to report less satisfaction with their living situation, many affluent renters have observed increases in their desire for home ownership. This is favorable for home sales, especially in the first-time homebuyer segment which has lagged the rest of the market in recent months.
ADCI renter sentiment indicates rental prices are continuing to increase. If ADCI demographics and average rental prices across the US are examined together, millennials are estimated to spend as much as 41% of their income on rent (Northeast region) and a national average of 33%. In comparison, the boomers paid an average of 23% of their income on rent.