A millennial couple is selling their home after endless repairs to become renters again: 'The whole housing market is a scam'
Roxanne Werner and her wife, Kristina Werner, bought their Houston home in early 2022 when, like many white-collar workers, they were still working remotely and wanted more space. Buying felt relatively affordable — they paid about $390,000 for their three-bedroom house with a pool and snagged a 3.75% mortgage interest rate.
But the hidden costs of homeownership quickly reared their ugly heads. First, there was a gas leak. Then, a $10,000 air conditioning repair. A costly pool leak, new garage doors, and plumbing issues came next. It felt like they're playing whack-a-mole with never-ending home maintenance. And that's all on top of their $2,600 monthly mortgage payment.
"The amount we pay monthly for our mortgage is totally reasonable," said Werner, who's 38 and works in communications for local government. "But then once we moved in, it just feels like it's been one thing after another, after another, after another."
So the couple, who have a combined income of about $185,000, is selling their house and going back to renting.
They're not alone. Some homeowners are weighing the burdens of owning and deciding they'd prefer the flexibility and lack of liability that renting offers. This has helped push the age of the typical tenant higher, driven also by both Gen Zers and millennials renting for longer and boomers renting as they age.
Rethinking the American Dream
As interest rates and home prices have surged in recent years, renting has become a better deal than buying in many places — a reversal of the historic norm. Indeed, homebuyers purchasing starter homes in 50 major cities in 2024 spent over $1,000 more on housing costs each month than tenants do.
There are all kinds of phantom costs associated with owning a home beyond the mortgage, insurance, and taxes. Buying and selling fees, home maintenance and repairs, insurance, and taxes can all be more than a homeowner bargained for.
And unlike other major purchases, like a car, homebuyers tend to treat their home as an investment that will appreciate over time. But turning a profit on a home — or just breaking even — is far from assured.
Werner and her wife, who works for the University of Houston, are looking forward to putting more money aside each month for long-term savings, vacations, dinners out, and their 11-year-old son's college fund. Buying another, lower-maintenance home feels like a bad deal now, Werner said, with interest rates around 7% and home prices elevated.
"It just feels like the whole housing market is kind of a scam," Werner said. "You buy the house, you sell it, and then you make a bunch of money, but then you also want to be able to afford to buy another house."
The couple listed their house for $429,000 in early May and are out of the option period with a buyer who has offered just below their asking price. Now, they're looking for a rental townhouse in a more walkable neighborhood that's closer to downtown Houston.
Werner estimates that she and her wife, who works at the University of Houston, will end up spending a bit more on their future rent — they think around $2,800 — than they do on their mortgage. But they expect to spend less on their overall housing costs when they factor in repairs and maintenance, she added.
Ultimately, though, Werner wants to abandon the social norms and traditions that make owning a home "synonymous" with the American Dream.
"Do we mean buy a home, or do we mean that you can build any life you want to, and maybe, for some people, that doesn't mean owning a home?" she said.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CNN
4 hours ago
- CNN
Analysis: Young people are skeptical of the American Dream
There are some striking divides in a new CNN poll, but they aren't necessarily the partisan kind Americans have come to expect: The divides are more gray than red versus blue. The first has to do with the American Dream, which a growing number of Americans feel is out of reach. Most, 54%, still agreed with the idea that 'people who want to get ahead can make it if they're willing to work hard,' in the new poll, conducted by SSRS. What's noteworthy is that when CNN asked the same question back in 2016, more than two-thirds of respondents, 67%, agreed with that optimistic idea. Looking at the new poll's results by age, younger Americans are less bullish that they can 'make it.' About half, 51%, of those under 45, felt that 'Hard work and determination are no guarantee of success for most people,' compared with 41% of those 45 and older. There's likely some partisanship behind those numbers, since younger Americans tend to be more liberal, despite the inroads that President Donald Trump and Republicans have made with young people. But the age divide exists, to a more modest extent, even within the Democratic Party. More than two-thirds of Democrats and Democratic-leaning independents under 45 say that hard work and determination are no guarantee of success. A smaller portion, 62% of older Democrats and Democratic-leaning independents feel that way. Read the full report by CNN's Ariel Edwards-Levy. A second question in the poll asks whether the government should do more or whether it is trying to do too many things already. A majority, 58%, say the government should do more to solve the country's problems, up from just 51% when CNN asked the question nearly two years ago. More young people, 63% of those under 45, said they want more from the government, compared with 54% of those 45 and older. The government arguably does more for older people: It helps to provide health care in the form of Medicare and retirement benefits in the form of Social Security for a large portion of older Americans. At the same time, the ballooning national debt means those programs' future is on an unsustainable path for younger Americans. Asked about which party they feel represents their views on the economy, three-quarters of people over 45 picked either Democrats (32%) or Republicans (42%), leaving just about a quarter of older Americans who said neither party represented them on the economy. A larger portion of people under 45, 38%, said they did not feel represented by either party on the economy. Another CNN story published Monday might help explain some of the malaise felt by younger Americans. This is from CNN's report on the 'No hire, no fire' economy by Matt Egan: … Even as the overall labor market looks relatively healthy, economists say this is the worst market for new college graduates since the height of the Covid-19 pandemic. Recent grads are finding that it takes considerable time to get hired, leaving them unemployed and saddled with student debt for a frustratingly long time. For the first time since record-keeping on the topic began in 1980, the unemployment rate for recent graduates (those 22 to 27 years old with a bachelor's degree or higher) is consistently higher than the national unemployment rate, according to Oxford Economics. The unemployment rate for people between 20 and 24 is twice the national average, and there is evidence that companies are adjusting how they make entry-level hires as they adopt AI advancements. All of that could point to a distinct lack of optimism among younger Americans.
CNN
4 hours ago
- CNN
Analysis: Young people are skeptical of the American Dream
There are some striking divides in a new CNN poll, but they aren't necessarily the partisan kind Americans have come to expect: The divides are more gray than red versus blue. The first has to do with the American Dream, which a growing number of Americans feel is out of reach. Most, 54%, still agreed with the idea that 'people who want to get ahead can make it if they're willing to work hard,' in the new poll, conducted by SSRS. What's noteworthy is that when CNN asked the same question back in 2016, more than two-thirds of respondents, 67%, agreed with that optimistic idea. Looking at the new poll's results by age, younger Americans are less bullish that they can 'make it.' About half, 51%, of those under 45, felt that 'Hard work and determination are no guarantee of success for most people,' compared with 41% of those 45 and older. There's likely some partisanship behind those numbers, since younger Americans tend to be more liberal, despite the inroads that President Donald Trump and Republicans have made with young people. But the age divide exists, to a more modest extent, even within the Democratic Party. More than two-thirds of Democrats and Democratic-leaning independents under 45 say that hard work and determination are no guarantee of success. A smaller portion, 62% of older Democrats and Democratic-leaning independents feel that way. Read the full report by CNN's Ariel Edwards-Levy. A second question in the poll asks whether the government should do more or whether it is trying to do too many things already. A majority, 58%, say the government should do more to solve the country's problems, up from just 51% when CNN asked the question nearly two years ago. More young people, 63% of those under 45, said they want more from the government, compared with 54% of those 45 and older. The government arguably does more for older people: It helps to provide health care in the form of Medicare and retirement benefits in the form of Social Security for a large portion of older Americans. At the same time, the ballooning national debt means those programs' future is on an unsustainable path for younger Americans. Asked about which party they feel represents their views on the economy, three-quarters of people over 45 picked either Democrats (32%) or Republicans (42%), leaving just about a quarter of older Americans who said neither party represented them on the economy. A larger portion of people under 45, 38%, said they did not feel represented by either party on the economy. Another CNN story published Monday might help explain some of the malaise felt by younger Americans. This is from CNN's report on the 'No hire, no fire' economy by Matt Egan: … Even as the overall labor market looks relatively healthy, economists say this is the worst market for new college graduates since the height of the Covid-19 pandemic. Recent grads are finding that it takes considerable time to get hired, leaving them unemployed and saddled with student debt for a frustratingly long time. For the first time since record-keeping on the topic began in 1980, the unemployment rate for recent graduates (those 22 to 27 years old with a bachelor's degree or higher) is consistently higher than the national unemployment rate, according to Oxford Economics. The unemployment rate for people between 20 and 24 is twice the national average, and there is evidence that companies are adjusting how they make entry-level hires as they adopt AI advancements. All of that could point to a distinct lack of optimism among younger Americans.
CNN
4 hours ago
- CNN
Analysis: Young people are skeptical of the American Dream
There are some striking divides in a new CNN poll, but they aren't necessarily the partisan kind Americans have come to expect: The divides are more gray than red versus blue. The first has to do with the American Dream, which a growing number of Americans feel is out of reach. Most, 54%, still agreed with the idea that 'people who want to get ahead can make it if they're willing to work hard,' in the new poll, conducted by SSRS. What's noteworthy is that when CNN asked the same question back in 2016, more than two-thirds of respondents, 67%, agreed with that optimistic idea. Looking at the new poll's results by age, younger Americans are less bullish that they can 'make it.' About half, 51%, of those under 45, felt that 'Hard work and determination are no guarantee of success for most people,' compared with 41% of those 45 and older. There's likely some partisanship behind those numbers, since younger Americans tend to be more liberal, despite the inroads that President Donald Trump and Republicans have made with young people. But the age divide exists, to a more modest extent, even within the Democratic Party. More than two-thirds of Democrats and Democratic-leaning independents under 45 say that hard work and determination are no guarantee of success. A smaller portion, 62% of older Democrats and Democratic-leaning independents feel that way. Read the full report by CNN's Ariel Edwards-Levy. A second question in the poll asks whether the government should do more or whether it is trying to do too many things already. A majority, 58%, say the government should do more to solve the country's problems, up from just 51% when CNN asked the question nearly two years ago. More young people, 63% of those under 45, said they want more from the government, compared with 54% of those 45 and older. The government arguably does more for older people: It helps to provide health care in the form of Medicare and retirement benefits in the form of Social Security for a large portion of older Americans. At the same time, the ballooning national debt means those programs' future is on an unsustainable path for younger Americans. Asked about which party they feel represents their views on the economy, three-quarters of people over 45 picked either Democrats (32%) or Republicans (42%), leaving just about a quarter of older Americans who said neither party represented them on the economy. A larger portion of people under 45, 38%, said they did not feel represented by either party on the economy. Another CNN story published Monday might help explain some of the malaise felt by younger Americans. This is from CNN's report on the 'No hire, no fire' economy by Matt Egan: … Even as the overall labor market looks relatively healthy, economists say this is the worst market for new college graduates since the height of the Covid-19 pandemic. Recent grads are finding that it takes considerable time to get hired, leaving them unemployed and saddled with student debt for a frustratingly long time. For the first time since record-keeping on the topic began in 1980, the unemployment rate for recent graduates (those 22 to 27 years old with a bachelor's degree or higher) is consistently higher than the national unemployment rate, according to Oxford Economics. The unemployment rate for people between 20 and 24 is twice the national average, and there is evidence that companies are adjusting how they make entry-level hires as they adopt AI advancements. All of that could point to a distinct lack of optimism among younger Americans.
