NAA President and CEO debunks apartment renting myths in his latest Washington Post column.
Renting an apartment is not a “backup option,” and renters are outpacing homebuyers nearly two and a half to one. In his latest article with the Washington Post, “Five myths about apartment renting,” National Apartment Association President and CEO Bob Pinnegar separates fact from fiction.
Pinnegar says renting is not throwing money away, but is in fact a benefit—being able to move when needed and not losing money on a home or needing to wait to sell a home.
Another myth involves the cost of rent, and owners operate on high margins. Pinnegar says only 10 cents of every dollar is considered profit, while the other 90% goes toward the property, payroll and other operating expenses.
Renting doesn’t always mean less space and variety. Communities offer different floorplans as well as unique amenities and technology options. “Choice and customization are hallmarks of the industry — it’s all about finding the right fit for you,” says Pinnegar.
Pinnegar cites data from the Census Bureau that renters increased by 16.4 million between 2008 and 2018. Meanwhile, homeowners only increased by 6.8 million. Renting has become “an intentional lifestyle choice,” he says. Younger generations are looking for more flexibility and maintenance-free living. The American Dream is not necessarily owning a home—it’s “the freedom to invest in and create your own path.”
Read the Washington Post article here.