South Florida renters continue to see increases while homeowners built net worth.
The study was conducted over a 5-year period beginning in 2009. It shows that rent in South Florida has increased by 16.5% while income only increased by .71%. Nationally rent is up on average by 15% and renter’s income only grew by 11%.
"The gap has worsened in many areas as rents continue to climb and the accelerated pace of hiring has yet to give workers a meaningful bump in pay," says Lawrence Yun, NAR's chief economist.
On the other hand those have bought a home in the past years have seen an increase in their net worth because the value of their home has gone up. They have also benefited from low fixed interest rates that come with a set monthly payment.
The biggest take-away is that while rent continues to increase so do home values so the longer someone delays buying a home the more difficult it will become to afford.