Digital Nomads Don't Need a House? Here's Why Young Adults Choose Renting Over Home Ownership

Why have a house if you can work while traveling?

That sentence is not just a young person's joke on social media, but a reflection of a trendy lifestyle: the digital nomad. The current generation is no longer bound to a desk at an office, and they don't even have to stay in one city. As long as there is Wi-Fi and a power outlet, anywhere can be a "office" --- from aesthetic cafes, villas in Bali, to co-working spaces in neighboring countries.

In the midst of this freedom of mobility, the dream of owning a home through a Kredit Pemilikan Rumah (KPR) is being questioned. Why take on debt for decades for a fixed home when lifestyle demands flexibility and movement?

Is home loans still relevant for young people in this era of cross-city and cross-country work? Or conversely, is renting a place considered more reasonable for those who want to live freely without the burden of installments?

Change in Mindset about Housing

In the past, owning a house at a young age was a symbol of success and maturity. Phrases like "When will you have your own house?" were often used as a measure of life achievements. However, now this paradigm is starting to shift. Young generations, especially Gen Z and late millennials, no longer prioritize owning a house as their main goal.

The concept of "home" no longer always means a permanent building with a fence and porch. For some young people, home is a place that makes them comfortable, productive, and free to express themselves—whether it's just a rented room in another city, or a homestay by the beach.

It's not that they don't want to have a house, but many see owning a home as something that can be postponed, even not necessarily pursued through conventional means like mortgages. High mobility, the desire to chase life experiences, and the increasingly challenging economic realities make many young people prefer renting accommodation over straining to make mortgage payments.

Instead of "stable home," many now prefer "freedom to move" as their version of stability.

Reasons Young Adults Choose Renting Over KPR

The choice to rent a place instead of taking a home loan for decades is not without reason. Here are some main factors that make young people feel it is more rational to rent rather than pursue a KPR (Home Ownership Loan).

1. Flexible Lifestyle, Not Bound by Location

Digital nomad menjadi gaya hidup yang makin banyak diadopsi anak muda. Dengan pekerjaan yang bisa dilakukan secara remote, mereka bisa tinggal di mana saja, kapan saja. Hari ini di Bandung, bulan depan di Yogyakarta, tahun depan mungkin di luar negeri.

Memiliki rumah di satu kota bisa terasa seperti "jebakan permanen". Sementara mereka ingin bebas bergerak, eksplorasi tempat baru, dan tidak terikat lokasi tertentu.

2. Property Prices Soar, Salaries Stagnant

The bitter reality faced by this generation is that house prices are rising much faster than salaries. In major cities, house prices have reached billions, while entry-level income still hovers around the minimum wage.

They finally thought realistically: instead of forcing themselves to get a mortgage and living "in the red" every month, it's better to rent and allocate money for other needs.

3. Fear of Being Trapped in a Long-Term Commitment

KPR payments can last 15 to 25 years. For young people still finding their way in life, their job, or even a partner, such a long-term commitment feels daunting.

They are worried about losing their jobs, moving to a different city, or experiencing lifestyle changes that make the house irrelevant. It's safer to rent and have the freedom to redefine every year.

4. Priorities in Life that are Different

Many young people now choose to allocate their money for things they consider more "worth it":

Improving skills through courses or bootcamps

For them, experience and flexibility are far more valuable than mortgage payments.

5. Low Financial Literacy and Limited Access to KPR

Some feel confused or afraid to face the KPR process:

Confused about fixed vs floating interest ratesAfraid of being rejected due to credit scoreNot yet understood how to set a down payment and safe installments.

Finally, many chose not to take risks and decided to continue renting.

Rent Now, Own a House Later? Reflections on the Choices of Young People

Choosing to rent doesn't mean rejecting homeownership forever. For many young people, this decision is a strategy: waiting for the right time, not giving up on their dreams.

They want to buy a house in a more reasonable way, perhaps sometime later when:

More stable jobAlready know which city to live inEnough savings or have passive income

On the other hand, renting also comes with risks: rental prices can increase, you don't have full control over your living space, and you don't own any assets.

However, one thing is certain---this generation wants to make big decisions like owning a home with more awareness and flexibility. Not because of social pressure, not because of old norms, but because they are financially and mentally prepared.

***

Time indeed changes. Digital nomads, remote work, and high mobility have led to the evolution of the concept of home. But one thing must not be forgotten: the future still needs a place to return to.

Whether it's a house owned outright, a rented property, or an investment property—the most important thing is to have a long-term life plan that aligns with our lifestyle and financial capabilities.

Because in the end, the choice between renting or taking out a mortgage isn't about right or wrong, but about being ready or not.