Overview of The case for renting forever
This Vox episode (Explained to Me) examines why more people are accepting — and in some cases choosing — renting as a long-term lifestyle instead of buying a home. Through a profile of two friends who bought a house together, reporting on housing-market dynamics, and an argument from a commentator who calls homeownership “overrated,” the episode explores practical, financial, and cultural reasons renting (or novel shared-living arrangements) may become the new normal.
Key takeaways
- The current housing market (high prices + mortgage rates ~6–7%) has frozen many transactions: owners with low locked-in rates aren’t selling, and buyers face unaffordable monthly costs.
- New housing models aim to provide cheaper, community-focused alternatives: converting vacant offices into “adult dorms” and intergenerational home sharing that pairs older homeowners with younger renters.
- Renting can offer real advantages beyond short-term flexibility: lower repair/maintenance burden, easier mobility, access to better locations, and fewer financial risks tied up in a single illiquid asset.
- Homeownership’s cultural prestige has political and historical roots; it’s often framed as civic virtue and a pathway to wealth — but those financial benefits aren’t guaranteed and come with significant costs and risks.
Case study: a shared household that bought a house
- Profile: Aisha (NPR host) and her longtime friend Jasmine combined households and bought a home together to pool resources, share childcare, and get the space they wanted in D.C.
- Practical benefits they cite:
- Shared parenting duties (meals, drop-offs, homework).
- Financial pooling allowed buying a house they otherwise couldn’t individually afford.
- Emotional benefits of deepened friendship and “chosen family” living without romantic entanglement.
- Challenges:
- Kids needed time to adjust and sometimes argue like siblings.
- Money-sharing works here because both are financially stable and have a longstanding trust.
- Requires flexibility around household order and roles.
Why the market is pushing people away from buying (reporting by Rachel Cohen‑Booth)
- Pandemic-era low interest rates and home price surges left many current owners with favorable mortgages. When rates rose, fewer people moved; sales fell.
- Even if price growth slowed, home prices haven’t dropped much — affordability is mainly hurt by higher mortgage rates that raise monthly payments.
- Result: prospective buyers feel locked out and are exploring new living arrangements.
New models being tried
- Adult dorms (office-to-residential conversions)
- Concept: turn vacant office floors into shared-living units with private sleeping spaces but shared bathrooms/kitchens/living rooms.
- Potential benefit: could cut construction costs (research suggests up to ~33% lower) and offer much lower rents.
- Trade-offs: privacy and perceived bleakness for some; viability depends on zoning, local vacancy, and market demand.
- Intergenerational home sharing
- Many U.S. homes have unused bedrooms: ~60% have at least one spare bedroom; about 21 million empty-nester homes have two+ spare rooms.
- Models like Nesterly match younger renters with older homeowners (profile creation, video vetting, lease tools).
- Benefits: unlocks housing supply, offers companionship/help for older adults, provides affordable space for renters.
- Risks: senior scams, safety and vetting concerns, need for clear contractual protections.
The case for renting (Jerusalem Dimsis’ argument)
- Emotional and practical freedom: renters can move easily, don’t shoulder maintenance headaches, and aren’t responsible for costly surprises (roof, HVAC).
- Financial skepticism of “forced savings” and guaranteed returns:
- Mortgage interest over 30 years, property taxes, insurance, maintenance can make ownership more expensive than it looks.
- House values aren’t a guaranteed high-return investment; selling at inopportune times (recessions, job loss, high rates) can wipe out gains.
- Diversifying investments (index funds, other assets) may outperform housing returns net of costs.
- Cultural/political roots: homeownership was promoted as a civic virtue (rooted in early 20th-century anti-immigrant sentiment and mid-century policy) and became a proxy for adult success and freedom — but freedom can also come from economic security unlinked to homeownership.
Trade-offs to consider
- Pros of buying: forced equity accumulation (if market cooperates), autonomy to renovate, long-term stability for some households.
- Cons of buying: illiquidity, maintenance/repair liabilities, large upfront costs, risk of reduced mobility, exposure to market timing risk.
- Pros of renting/shared models: flexibility, often lower immediate costs, access to preferred neighborhoods, less responsibility for upkeep, potential community benefits.
- Cons of renting/shared models: less control over living space, potential instability if landlord/senior decisions change, privacy concerns, and sometimes no equity building.
Practical advice for listeners
- Calculate true monthly cost comparisons: include mortgage interest, taxes, insurance, HOA fees, maintenance vs. rent and renter protections.
- If considering shared living (friends, intergenerational, co‑living):
- Establish written agreements about finances, household responsibilities, dispute resolution, and exit terms.
- Vet roommates/partners thoroughly and consider platforms that provide background checks and mediated contracts.
- Think beyond cultural scripts: weigh career mobility, family needs, local housing policy, and investment alternatives.
- Watch policy and market signals: zoning changes, office vacancy rates, and mortgage rate trends can open new opportunities.
Notable quotes
- “Home ownership, overrated. That’s my take.” — Jerusalem Dimsis
- “If you’re the type of person who can’t have anything out of place, this is not gonna work.” — on shared households (Aisha/Jasmine)
- “A lot of people don’t recognize the amount of interest that you are accumulating over a 30‑year mortgage.” — Jerusalem Dimsis
Resources and examples mentioned
- Nesterly (intergenerational home-sharing platform)
- Research/ideas on office-to-residential conversions (Pew, Gensler referenced)
If you want a single-line summary: the episode argues that high costs, changing markets, and real lifestyle benefits are making renting and shared-living arrangements a durable, sometimes preferable alternative to the traditional American dream of homeownership.