Forever renting lifestyle could be here to stay in US

Moving back and forth from Tennessee to Alaska, Mr Michael Rogers and his wife, Christy, have twice been stuck simultaneously paying a mortgage and rent.

Once, in 2006, the situation dragged on for eight months, finally ending when they sold their house in Tennessee for US$20,000 below what they'd paid for it.

Other adventures in home ownership ended well the couple doubled their money after selling a fixer-upper. Then later, with another property, they had to pay out US$30,000 to fix a mudslide around their home, a mistake caused by the builder.

Two years ago, the Rogerses moved to Kingsport, in north-eastern Tennessee, where they signed a lease on an apartment they thought would be a year-long stopgap before buying again.

The couple just renewed their lease for a third year, and have decided to remain renters for good.

Mr Rogers, a construction manager, likes the convenience of being able to move when a job calls.

Either by choice or by being priced out of the market, many people in the US have decided that renting forever is their best only option. Housing costs and interest rates have risen in the past few years, and it can make financial sense to rent.

Home ownership is a traditional strategy for long-term-wealth building. For people who aren't planning to buy, creating a strong financial plan without building home equity requires a different mindset.

Owning a home isn't a magic bullet to secure retirement. Mr Rogers has seen how being "house poor" has affected older family members, one of whom has three-quarters of her net worth tied up in her house.

That situation leaves people with the option of borrowing against the equity in their home or selling the home to get at the value within it.

He's focused on investing instead, preferring the liquidity and stability of the stock market.