According to data from the California Association of Realtors® 2018 State of the California Consumer Survey, despite affordability challenges, California renters continue to hold home ownership in high regard and aspire to purchase a home eventually.
What do California renters feel are the advantages of homeownership:
- 21% of California renters felt that home ownership provides a good, long term investment;
- 19% of California renters felt that home ownership would give them the freedom to do what they want with their home; and
- 12% of California renters felt that home ownership provides the stability to put down roots.
What is hindering California renters from becoming homeowners:
- Only 40% of renters are familiar with the credit and loan criteria needed to purchase a home;
- 14% of California renters were under the impression that more than 50% down payment was required to buy a home; and
- Nearly 40% of California renters believe that more than 20% is required to become a homeowner.
The bottom line: Misconceptions result in many California renters delaying their home purchase or giving up on their dream of owning a home. If you’re a renter, talk to your Realtor® to find out how you can become a homeowner.