Responsibly Stepping Into Home Ownership

With an economy on the rise, we notice thousands of new families beginning to enter the market and purchasing homes, leading to a spike in the number of households created. These positive economic conditions are exciting for families ready to enter the housing market but do not come without barriers. The Equifax Finance Blog explores how these obstacles have lead many future home owners to use single-family-rentals (SFRs) as a temporary solution to today’s barriers in the new article, "The New Stepping Stones to Homeownership."

Data collected by the National Survey of Renters shows that over 52 percent of renters foresee a transition to home owning in the next five years. In addition, families of three or more members and children under 13 were more likely to become homeowners than the 43 percent of renters who have no intention of becoming home owners.

The National Survey of Renters’ conclusions suggest a trend of families using SFRs as a gateway to homeownership. Families can stay in SFRs for several years while they better their finances for home ownership. Using SFRs as a step toward buying a home helps better new buyers to tackle the barriers to the real estate market such as big down payments, tight lending standards and low inventories of homes.

There are many more tips on how to better your credit rating and prepare yourself for home ownership at the Equifax Finance Blog.