Baby boomers — those born between 1946 and 1964 — are bucking the trend when it comes to renting versus buying a new home, according to a report from Bank of America, published Wednesday.
Sparks Research conducted a national online survey on behalf of Bank of America between March 5 and March 18 from a total of 2,000 surveys (1,000 homeowners and 1,000 renters). In addition, 200 additional surveys were conducted with first-time homeowners (for a total of 615 responses), and 200 additional surveys were conducted with prospective first-time homeowners (for a total of 972 responses).
Younger survey respondents tended to shun the idea of renting, as it is not a long-term investment in the future, and fluctuations in rental rates could affect their finances down the line.
Baby boomers, however, had an entirely different take. Among those surveyed, 80% in the age group felt renting was the better option at this state of life. That’s up 63% from last year, according to the report.
Reasons for preferring rent include enjoying freedom from property maintenance and repair work, avoiding the additional financial responsibilities that come with home ownership, and valuing the sense of freedom not to be locked into a single location.
“As for the boomers who already own homes, many are not planning to go anywhere,” MSN reported. “A recent survey by Redfin found that 51% of baby boomers aren’t planning to sell their homes anytime soon, and 27% said they’ve completely or almost fully paid off their homes.”
