IRVINE, Calif.—A list of the 20 most expensive places for renters-by-choice has been released by HomeUnion.
HomeUnion said it analyzed zip codes where more than 25% of the submarket’s real estate is rental stock, and those households have a median income in the 75th percentile, according to data compiled by HomeUnion, the U.S. Census Bureau and Maponics.
“Our list of the high-priced neighborhoods and submarkets for renters-by-choice indicates an ongoing shift in preferences among an affluent portion of the U.S. population,” said Steve Hovland, director of research for HomeUnion. “An increasing number of people are renters-by-choice, opting to live within walking distance or a short commute of their office building, workplace, university, community services or nightlife, instead of the suburbs. In other words, the American Dream of homeownership continues to fade, while renting by choice is an expanding reality for a large segment of the population,” he adds.
Data from the Joint Center for Housing Studies of Harvard University supports HomeUnion’s findings. In the Joint Center’s 2015 Housing Vacancy Survey, renter households soared nearly nine million from 2005 to 2015, the largest increase over any 10-year period on record. As of the end of last year, about 32% of U.S. households occupied rental housing.
A list of the 20 most expensive zip codes for renters-by-choice appears below: