A 28-year old renter tells the Associated Press that she plans to keep living and renting in the city for a long time to come.
She is a member of the Gen Y. But as Gen Y grows older, it’s transforming and taking on a new name: “Generation Rent.”
According to 2011 census results, city populations are booming, as are the number of young people (i.e. Generation Rent) who are choosing to rent rather than buy homes in the suburbs.
Renting certainly comes with fewer attachments than buying. But the reasons why Generation Rent members are choosing to rent rather than buy are far more serious than they may appear.
Generation Rent members are “burdened with college debt or toiling in temporary, lower-wage positions.” A home is a purchase laden with responsibilities and long-term commitment and for many young people with mountains of school-related debt, adding new loans to the mix isn’t a feasible option.
The 2011 census results are additional symptoms of what we’ve called the “20-Something Crunch”—a crunch that combines high debt and low employment. In the case of the 2011 census, that crunch is packaged and on display in cities across the country.
As NPR says: “Most lenders now require a rock-steady source of income and a substantial down payment before they will even look at potential borrowers.” It’s a “steep threshold” that members of Generation Rent can’t or won’t face any time soon.
Urban plans are shifting in response to the census stats. Members of Generation Rent cite the importance of rentals near transportation hubs, cheap food and entertainment locales. Businesses are answering to these needs accordingly.
For information on renting an apartment in Ridgelanc, SC, contact Auston Chase Apartment Homes.