Wondimu, Habtamu (Professor)Tafesse, Samson2019-03-152023-11-182019-03-152023-11-182018-06http://etd.aau.edu.et/handle/12345678/16833The purpose of this study was to compare the effects of paying rent on the psychological wellbeing on home owners who are living in their houses and pay their loan to the commercial bank of Ethiopia monthly and home tenants who pay the required rent monthly to the house owners .The study was carried out in Addis Ababa city administration, Bole sub-city woreda 10 known as summit condominiums. To collect the data 150 home owners and 150 home tenants whose ages ranged between 20 and 70 participated in the study. The method of the research used in the study is cross-sectional descriptive comparative study design also quantitative methods of data analysis were employed using percentage. In addition, t-test analysis of variance (ANOVA) and a chi-square test were used to analyze the collected data. The result of the study revealed that condominiums home owner are relatively not affected or psychologically well when compared to home tenants. Beside that 66% of home tenants are living with high rent burden and most of the renters who experienced rent burden had low in psychological well-being. In addition, the study revealed that variables such as gender, income and education level have a statistically significant different on home owners and home tenants on their psychological wellbeing between the comparison group. Whereas age makes no effect on psychological well-being between the comparison group, that’s to say paying rent either to the bank or to individual owners has no direct impact on the two groups because of age difference. Key words: Psychological Well-being, Homeowner, Home renter, Rent burdenenPsychological Well-beingHomeownerHome renterRent burdenThesis