New research by Freddie Mac found that rising rents aren’t necessarily driving homeownership rates up.
Harris Poll was commissioned to survey more than 2,000 U.S. adults in March 2015 to understand their attitudes toward renting.
"We've found that rising rents do not appear to be playing a significant role in motivating renters to buy a home," said David Brickman, EVP of Freddie Mac Multifamily in a release. "This contradicts what some in the housing market think as they expect more renters ought to be actively looking to purchase a home. We believe rising rents are primarily a sign of increased demand rather than a signal that home purchases will be increasing."
Brickman added, "Growth in the number of renter households is occurring amid an improving job market and economy. The demand for rental housing is increasing and an estimated 440,000 new apartment units are needed each year to keep up with demand."