The Wall Street Journal's Laura Kusisto looks at how rising home prices and rent growth are disenfranchising a generation of Americans, as the housing recovery leaves the middle class behind.
Home prices grew in 148 of the nation's 178 major metros in the second quarter, according to the National Association of Realtors. But those gains in pricing are more driven by a lack of supply than droves of new buyers, as the pace of home building continues to plod along at recession-era levels.
And this is creating a generation of very angry renters:
“I don’t think we are in a normal housing market,” said Lawrence Yun, chief economist at the National Association of Realtors. “The losers are clearly the rising rental population that isn’t able to participate in this housing equity appreciation. They are missing out on [a big] source of middle-class wealth.”
Anxiety about missed economic opportunities is a key driver of the anti-incumbent anger on both sides of the political spectrum that has shaken up the 2016 election season ...
“You have these people who can’t get housing, and it’s turning into this rage,” said Kevin Finkel, executive vice president at Philadelphia-based Resource Real Estate, which owns or manages 25,550 apartments around the U.S.