When is it a good time to rent? DEFINITELY NOT NOW!
Monday, May 30, 2016
Originally posted by Nancy Fennell - Dickson Realty
The Census Bureau recently released their first quarter median rent numbers. Here is a graph showing rent increases from 1988 until today:
A recent Wall Street Journal article reports that rents rose “faster last year than at any time since
2007, a boon for landlords but one that has stoked concerns about housing affordability for renters.”
The article also cited results from a recent Reis Inc. report which revealed that average effective rents
rose 4.6% in 2015, the biggest gain since before the recession. Over the past 15 years, rents have
risen at a rate of 2.7% annually.
Where are rents headed?
Jonathan Smoke, Chief Economist at realtor.com recently warned that:
“Low rental vacancies and a lack of new rental construction are pushing up rents, and we expect that
they’ll outpace home price appreciation in the year ahead.”
Bottom Line
NAR’s Chief Economist, Lawrence Yun had this to say in the latest Existing Home Sales Report:
"With rents steadily rising and average fixed rates well below 4 percent, qualified first-time buyers
should be more active participants than what they are right now."
One way to protect yourself from rising rents is to lock in your housing expense by buying a home. If
you are ready and willing to buy, let's meet up to determine if you are able to today!
I have been helping families buy and sell homes in the Reno/Sparks area for over 18 years. It is vital
that you have a solid, well respected, and seasoned Realtor on your team when you are looking to
buy or sell a home. Please call me today and let's have a conversation about the market and how you
can take advantage of our increasing values and low interest rates.
Contact me for all of your Real Estate needs at 775-762-7653 move2reno@gmail.com or move2reno.com
Best,
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