Households’ movements and the private rented sector in Taiwan

Abstract

This paper examines the recent movements of households into, within and out of the private rented sector in Taiwan. The private rented sector in Taiwan has long been ignored by the housing policy-makers and the sector has been regarded as temporary short-term housing that serves as a stepping stone towards homeownership. By examining the latest survey data on who moves in and who moves out from the rented sector, this paper provides a rather non-static perspective of the nature of current rental sector in Taiwan. The logistical findings in this paper suggest that, except served as a main housing arrangement for those “leaving home” population, the instability of employment has made the rental sector the housing solution for those seeking jobs, especially those homeowners who have experienced a voluntary or involuntary change in their careers in their 40s. For those rental households moving toward owner occupation, the movement solely depends on the households’ financial affordability. Thus, for those with the least financial resources, mobility upward and downward within the rental sector or a return from owner occupation has become usual when their employment career prospects are gloomy.