Main Street vs. Wall Street: How Corporate Greed is Hijacking the American Dream
Is Homeownership Still the American Dream?
For generations, the idea of owning a home has been synonymous with achieving the "American Dream." Independence from landlords, the ability to build wealth through equity, and the freedom to create a space of your own have been cornerstones of this ideal. But in today’s landscape, is this dream slipping away—or worse, becoming a trap for many?
The Reality Behind Homeownership Rates
Despite its deep cultural roots, homeownership in the U.S. isn’t as widespread as you might think. Currently, only about 65% of Americans own their homes—a figure that places the United States 54th globally in homeownership rates.
What’s even more surprising is that this percentage hasn’t budged much over the last 50 years. While the early 2000s showed promise, with slight increases in homeownership, the 2008 financial crisis wiped out those gains. It wasn’t just percentages that fell; the crisis obliterated wealth for millions of families and shattered trust in homeownership as a stable path to prosperity.
The Rise of Corporate Landlords
Adding to the challenge, large hedge funds and private equity groups have been snapping up residential properties nationwide. Homes, once seen as stepping stones to financial independence, are now becoming assets in vast portfolios aimed at generating rental income.
For every home purchased by these corporations, another family is locked out of the opportunity to buy. Instead, they’re left to rent—often paying rising monthly costs to the same entities that contributed to the housing collapse years ago.
AI Landlords and Price Fixing Algorithms
The U.S. Justice Department is currently at the Supreme Court arguing in support of their lawsuit against the creators of RealPage, a software platform used by many large property management companies. RealPage has been accused of facilitating a coordinated effort among landlords to artificially inflate rental prices.
The software allegedly uses complex algorithms to analyze local rental markets, identifying the highest rents landlords can charge without driving too many tenants away. The software will actually calculate the perfect balance between high rent prices and number of vacant units that will result in maximum profit for the property owner. What’s worse, RealPage is designed to share data between competing landlords, allowing them to effectively avoid anti-price fixing regulations while still behaving like the mob.
This alleged price-fixing scheme has serious implications. By keeping rents high across the board, RealPage and its clients create a market where renters have few, if any, affordable options. The Justice Department’s lawsuit claims that, in 2023 alone, RealPage’s algorithm cost U.S. renters an extra $3.8 billion dollars. For individuals already priced out of homeownership, this practice further restricts their ability to save for a down payment or build long-term financial security.
The lawsuit marks a critical moment in addressing how corporate landlords and their tools may be exacerbating the housing crisis. If successful, it could force significant changes in how rental markets operate and pave the way for fairer practices for renters nationwide.
This issue underscores the broader challenges faced by those trying to escape the rent trap. While owning a home remains a distant goal for many, renters are increasingly at the mercy of profit-driven corporations using technology to maximize their earnings—often at the expense of everyday people.
A Generation Shaped by Crisis
This environment has left a lasting mark on younger generations. Millennials and Gen Z adults, many now renting, were children during the Great Recession, witnessing firsthand the devastation of losing homes, uprooting their lives, and watching their families struggle financially.
Now, as adults, many are skeptical of homeownership. They view it not as a pathway to stability but as a potential trap—one they saw their families fall into during the last major housing crisis. Instead of buying, they rent.
But here’s the irony: some of the rent they pay often in the pockets of the same people that profited from the subprime mortgage era, leading to the crisis that created their mistrust in the first place. These companies, armed with enormous capital, buy up properties, turn them into rentals, and raise rents year after year.
The True Cost of Renting
For renters, the appeal is clear: no risk of foreclosure, no unexpected maintenance costs, and the flexibility to move. Yet renting comes with a hidden price. Unlike homeowners, renters build no equity. Every rent check is money they’ll never get back—wealth transferred directly to a landlord, often a subsidiary of Wall Street firms.
This dynamic perpetuates a cycle where the rich get richer while renters remain stuck. Worse, many don’t realize that the very systems making it harder for them to buy a home are the same ones profiting off their rent payments.
Can We Reclaim the Dream?
If homeownership is to remain part of the American Dream, changes are needed. Policies that discourage corporations from hoarding residential properties could help level the playing field. Additionally, expanding access to education on home-buying and lending practices can rebuild trust and empower individuals to make informed decisions.
For many, the path to owning a home may still feel out of reach. But understanding the forces at play—and working to address them—can help ensure that homeownership remains more than just a dream for future generations.
Your Next Step Toward Homeownership
If you’re ready to take the first step or just want to explore your options, let’s talk. The path may not be easy, but with the right guidance, it’s possible to turn the dream of homeownership into your reality.
