Why Self-Made Millionaire Bernadette Joy Chooses Renting Over Homeownership

Financial Coach Bernadette Joy Explains Her Decision to Rent Despite Being Able to Buy

Bernadette Joy, a self-made millionaire and author of Crush Your Money Goals, challenges the conventional wisdom that homeownership is the only path to financial security. Although she and her husband once owned four homes between 2010 and 2022, they sold all their properties three years ago and returned to renting. Joy credits this shift with improving her net worth and reducing stress.

From Homeowner to Renter: A Strategic Shift

Joy grew up embracing the American ideal that owning a home is essential. However, after building her career and acquiring multiple properties—often holding one residence and one rental—she reconsidered this stance. In 2021, upon reaching her first million dollars in net worth, she and her husband decided to downsize and rent instead. Within three years, they increased their net worth by another million.

Joy attributes this financial acceleration to reinvesting the proceeds from property sales into diversified portfolios, such as index funds, and freeing herself from the time-consuming management of rental properties.

The Hidden Costs and Burdens of Homeownership

While many prospective homeowners focus on mortgage payments, Joy emphasizes the often-overlooked expenses associated with owning a home. Beyond property taxes and insurance, homeowners face significant costs for renovations, furniture, and maintenance. She recalls paying for unforeseen issues like roof leaks, plumbing, electrical repairs, and even fallen trees.

These expenses, Joy warns, are frequently underestimated and can strain finances and time.

The Challenges of Being a Landlord

Joy also recounts the difficulties of managing rental properties, particularly short-term rentals like Airbnb. Despite the potential to generate income, she found the operational demands overwhelming. Tasks included managing bookings, coordinating turnovers, and addressing property damage caused by guests. The emotional toll was significant; during a family emergency, she was burdened by guest communications about trivial matters, prompting the couple to sell their rental.

Financially, Joy concluded that investing in the stock market yielded better returns with less hassle than being a landlord.

Renting Offers Flexibility and Lifestyle Compatibility

Currently renting a modest 700-square-foot apartment, Joy acknowledges the space is tight but values the flexibility it provides. She plans to move to a larger rental within months, a level of mobility that owning a home often restricts.

Joy highlights that the real estate market’s volatility and rising mortgage rates limit homeowners’ ability to relocate easily. Many face the dilemma of selling their current property only to purchase a smaller home at a higher interest rate.

For Joy, renting eliminates these constraints, allowing her to pursue career opportunities and personal growth without the mental load of property maintenance or market timing.

Conclusion

Bernadette Joy’s experience offers a nuanced perspective on the rent-versus-own debate. While acknowledging the long-term wealth-building potential of homeownership, she demonstrates that renting can be a financially sound and personally fulfilling choice, particularly when paired with strategic investing and a desire for flexibility.