Okay, so I lied: in the rent-versus-buy debate, rent is the winner(?).
An article I posted a few months ago announced that "the latest Fannie Mae National Housing Survey, conducted last December and January and released April 6, tells us that 'two-thirds of Americans (65 percent) prefer owning a home'". Pretty clear cut, right? Not long after that, another poll, conducted by Harris Interactive, fired back that "more than 76 percent of people say they would prefer to rent a home than buy one...according to this year's survey from the [fill in blank]". So who commissioned the second poll? Guess. No, really, guess. Yes, the National Apartment Association.
So let's see what scientific polling tells us. First, that 65 percent of us prefer owning a home. Second, that over 76 percent of us prefer renting a home. And, third, that like the science called economics, the gun-for-hire called scientific polling offers us a suit-yourself smorgasbord of choices, with bedrock truth not always on the menu.
"Over 76 percent" obviously beats "65 percent"—maybe someday over 110 percent of us will prefer renting to owning—so let's see why three in four of us prefer renting these days. "64 percent of renters cited having no responsibility for major repairs or maintenance as the primary reason they prefer to rent". That's a fantastic coincidence, because my nine years in rental management has me convinced that a scientific poll of landlords would show that "64 percent feel no responsibility for major repairs or maintenance". Here's another coincidence: my thirteen years of seeing homes for sale also has me guessing that "64 percent of homeowners do major repairs or maintenance only in the 30 days before they put their homes on the market, if then".
The other big reason renters prefer to rent? "33 percent [cite] not being impacted by an unpredictable real estate market or susceptible to foreclosure". And, admittedly, there's nothing unpredictable about the rental market. Except when rents skyrocket because foreclosed homeowners are looking for places to live, or because local employers are on a hiring binge. And no one has ever had their rent raised because their building has new owners, or because their lease expired. On a fixed income? Then maybe you can't afford a nice place like this.
And no one can lose their rental home, because no one can be evicted for non-payment or violating the other terms of their lease. And no one can be booted after their lease expires because they asked for repairs once too often, or because their landlord or on-site manager doesn't like the cut of their jib, or because the owner plans to sell the house, or because the new owners are going to rehab the building and tenants would just get in the way...or just because. Nothing unpredictable about that, right? And guess whose side the law is on? That's right, the landlords', because landlords have big lobbies like...the National Apartment Association.
Yes, you can take it from the NAA: pack up your troubles in your old kit bag, and smile, renter, smile.
All this renter bliss reminds me: ever read one of those online reviews of an apartment complex? Ever read complaints about landlords who don't do anything about noisy neighbors? Or about nickel big-shot managers with hair-trigger tempers who take an instant dislike to you? Or about management companies that make unreasonable deductions from security deposits? Or about on-site staff who take forever to return calls and write up maintenance requests?
Well, I could keep waxing rhapsodic about the no-muss no-fuss no-risk joys of renting, but I can't. Just like I can't wax rhapsodic about the no-muss no-fuss no-risk joys of homeownership. Because muss, fuss and risk come with being a grown-up. Can't get around it. Despite what "more than 76 percent", or maybe just 35 percent, of us think.