In a white paper titled, “The Homeowner Wannabes,” researchers from John Burns Real Estate Consulting discussed the six ways in which single-family renters differ from multifamily renters.
According to the paper, single-family renters have higher incomes and lower credit scores, as well as larger households with more children. Also, 70 percent of single-family renters intend to own a home someday, compared to 59 percent of multifamily renters.
Single-family renters also value safety and see their homes as a safer environment, and 44 percent believe their rent will increase. Comparatively, 53 percent of multifamily renters are likely to anticipate an increase in rent and find income to be the biggest barrier between themselves and owning their own home. Single-family renters cite credit as the biggest obstacle.
Based on the findings, researchers predict that in the next several years, single-family renters are likely to improve their credit and their finances in an effort to enter or re-enter homeownership. Multifamily renters, they predict, have a lower desire to own a home and will not experience an increase in homeownership.
To download the full report, visit the John Burns Real Estate Consulting website.
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