{{titleBar.title}}

{{titleBar.tagline}}

 

 

Renters more pessimistic than homeowners during economic downturnRenters more pessimistic than homeowners during economic downturnhttps://www.recenter.tamu.edu/news/newstalk-texas/?Item=249242020-09-21T05:00:00Z2020-09-21T19:00:00Z

​​​​​​​COLLEGE STATION – The Census Bureau has released phase two of its Household Pulse Survey (HPS) after a month-long hiatus. This round includes new questions regarding respondent sentiments on the likelihood of either eviction or foreclosure. 

Throughout the summer, the HPS revealed a stark difference in optimism between homeowners and renters. Texas homeowners typically felt more likely to be able to make their next housing payment than renters. 

According to the mid-August survey, clos​e to 60 percent of renters indicated they felt eviction was either “very likely” (30 percent) or “somewhat likely” (29 percent), highlighting the negative shock the Texas housing market has felt during the pandemic. Effects may be regional, but the degree to that effect is uncertain. 

While most Texas renters felt eviction was on the horizon, renters in Houston weren’t as pessimistic as renters in other metros. Dallas renters were the least pessimistic. 

Texan fears of either eviction or foreclosure

The survey found annual income levels are the most common underlying drivers of evictions and foreclosures. The largest income cohort for renters is below $25,000, whereas homeowners tend to make $50,000 or more. This income difference likely explains the general lack of foreclosure fears for homeowners across the state.

Note that the latest survey reflects sentiments during mid-August, before the Centers for Disease Control and Prevention issued an evictions moratorium. The order started on Sept. 4, 2020, and is in effect through Dec. 31, 2020.

Texas logoThe Real Estate Center has a wealth of economic information online for free.

​Source: Real Estate Center​
Real Estate Center
Texas
Housing
Read more at {Source}

 Search NewsTalk Texas