Consequently, the newest data shows that many Americans are changing the way they rent; not only are they renting for much longer, but they’re also staying in one place.

On average, 16.6% of renters stay in their homes for at least ten years. In 2014, only 13.9% of Americans were living in the same rental for more than ten years, and while 3% may not seem like a big jump, that’s actually millions of people.

Additionally, 41.8% of renters are living in the same home for between one and four years, which is 33.9% more than a decade ago. The only statistic that has decreased is renters who leave their homes before the year; in 2014, 32.2% left before 12 months, whereas in 2024, only 25.2% moved before the end of the year.

But the most common reason many renters may choose to renew instead of leaving for a new apartment or house is because it saves them money. Even if the rent increases, which it often does, it’s still far cheaper to stay put instead of moving.

In fact, rent prices have increased by more than 20% since 2019. Because of the jump in rent, many Americans have found it challenging to move to a new rental even if they want to, as the majority are simply too far above their budget.

Instead, they argue that the driving factor in the increasing long-term rentals is that there simply aren’t enough homes and apartments for rent. However, not everyone agrees with this theory.

Millions of Americans are likely staying in their rented spaces for longer periods of time in order to save up enough money to finally buy the home of their dreams, or at least one they can afford.

Which, of course, is the ultimate American dream that has become far more challenging than ever before.

And because wages are all but stagnant, millions of Americans simply cannot afford the new outrageous prices. While this is devastating for the next generation, it will also have a significant impact on the housing market and the country’s overall economy.

Mortgage rates rose again at the start of 2024 to 7.2%. Shockingly, that means the current rate is more than double the 2015 rate of 3.9%.

In fact, in March 2024, some home sellers lowered their prices for the first time since 2022. And this trend could continue if motivated sellers are tired of waiting for Americans to save up enough to buy an expensive home.

Realtor.com chief economist Danielle Hale explained, “If a household stays put in a home or neighborhood that is not a good fit because they can’t find other options that meet their needs or budgets, this can be an indication of a problem in the real estate market.”