It’s no secret that home ownership in the U.S. has reached record lows these days, as an increasing number of people prefer renting their homes instead of buying a house for them. According to the U.S. Commerce Department, the homeownership rate in the U.S. is currently just above 63%, a figure last seen in 1965.
Using simple supply and demand economics, we can easily identify the reason behind this extraordinary investment performance of rental properties: Demand.