Skip to comments.Growing demand for US apartments pushing up rents
Posted on 04/03/2014 1:28:10 PM PDT by Olog-hai
These are good times for U.S. landlords. For many tenants, not so much.
With demand for apartments surging, rents are projected to rise for a fifth straight year. Even a pickup in apartment construction is unlikely to provide much relief anytime soon.
That bodes well for building owners and their investors. Yet the landlord-friendly trends will likely further strain the finances of many renters. Thats especially true for the 50 percent of them who already spend more than one-third of their pay on rent.
A 6 percent rise in apartment rents between 2000 and 2012 has been exacerbated by a 13 percent drop in income among renters nationally over the same period, according to a report from search portal Apartment List, which used inflation-adjusted figures.
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That’s because ther’s been a very large segment kicked out of homes they used to live in.
There won’t be enough apartments if we don’t stop the off-shoring of American industries.
The Bush/Obama Big Government recovery.
“Even a pickup in apartment construction is unlikely to provide much relief anytime soon.”
It never does. Construction always lags demand spikes by at least a couple of years, so they are usually late to the game. Then, once everyone realizes it is profitable and starts trying to get back in on the new construction game, they always overbuild and cause a glut on the market.
Rent a mobile home.
And the rest are single mothers renting on Section 8, which is about half of ‘families’ today.
Eventually, the government will decide it’s time to declare “landlords” the class enemy. They’ll be killed, and the apartments will be turned over to the People.
Ask someone from Russia, Cuba, or Nicaragua how that works out.
All those years during the climbing housing bubble, my rent kept increasing, and just after the bubble burst, there was a short period of time when rents decreased.
But then all the banks were bailed out, and the speculators came sneaking back, and government mortgage assistance was offered to multiple millions of defaulting homeowners who would have been evicted in 90 days, not 3 years later, if they had been renters.
So I was stupid.
I should have pretended to “buy” a place to live I couldn't really afford, so the government would give me special tax breaks when their grand ponzi scheme finally broke down!
You do comprehend that as a property renter, I can not deduct property taxes, even though I pay them, right?
Or did you think landlords rented property at a net loss?
(Well except for the government subsidized Section 8 landlords that drove up rents just as much as property speculators)
If you think you are somehow smarter or morally more virtuous than renters for “owning” property...just wait untill you lapse in paying YOUR landlord.
Our government will evict an elderly grandmother from the house she has owned outright for 40 years, if she doesn't pay the ever increasing annual rent tax they claim is owed them now, based on it's current projected worth if sold.
I guess you would frown upon the people getting mad about that too....
I don’t feel superior to renters. We’ve been there and done that, and I’m always expecting to be there again.
It’s the government’s plan to set renters against owners, though. Whatever it takes to make everyone dependent on the state for housing.
I did predict this, back in 2008, when many people were walking away from their mortgages - even those who could afford to pay, in some cases - thinking they would be better off.
In the future, we are likely to see a wave of inflation, which will make it even more difficult for those who do not own property.