(This is one of those questions that attempts to establish your stability. The translation is “Are you a responsible member of the community?” Answer briefly and honestly. If you are renting while you save to buy your own home, mention where you’ve been looking. If you haven’t, start now with a call to a local real estate agent.)
(I/We) purchased our home in ____________ (name of town) in ___________ (year).
OR
(I am/We are) currently renting a (house/unit) in __________ (name of town), but (I’m/we’re) looking for (my/our) own home in the area.