Rents Are Sky-Rocketing

Since the recession many past or potential homeowners have chosen to rent a home rather than buy.  Because of this scenario, there has been an increased demand for rental homes, creating a shortage of homes available, and as a result, rental rates have sky-rocketed.

 

Some of the reasons people have been choosing to rent rather than buy a home include insecurity about job, the loss of a job, damaged credit, short sale, foreclosure or loss of equity.  Another reason has been an overall loss of confidence in the real estate market.

 

During and immediately after the recession it made sense for some people to rent a home until they could get back on their feet.  With the recent improvement in the overall economy, however, the decision to rent vs. buy should be re-evaluated, and probably be done soon.

 

Several housing studies conducted this year, reinforce the fact that owning a home is still less expensive than renting.  According to Trulia's 2014 Renting vs.Buy Report, this was the case nationally and in each of the 100 metro areas.  Assuming a 30-year fixed mortgage rate of 4.5 percent, buying is 38% cheaper, nationally than renting. These numbers vary according to region.

 

Renters who might mistakenly think that homeownership is out of reach, would benefit from speaking to a real estate professional to get the real facts about where the market is right now and how to begin the process of home ownership. It may be a good idea to ask yourself "why pay someone else's mortgage when you can own your own home?"

 

Take the first step and speak to someone who is knowledgable and interested enough in you to help get you on the right track if you are not ready to buy today.  It is not as hard as you may think it is to buy.  With focus and determination and someone to help guide you along the best path, you would be surprised at what can be accomplished in a relatively short period of time.  Believe me when I tell you that the road to buying will be much shorter with a plan in place.

 

If you are ready to get out of the rental market and become a homeowner, call me at (805)710-2415 or email me Nancy@NancyPuder.com to discuss the benefits of homeownership and to get the facts on today's real estate market.

 

Nancy Puder is a real estate broker in Arroyo Grande, CA. with Nancy Puder & Associates. If you have any questions or concerns regarding your own property, contact Nancy at (805)710-2415 or email Nancy@NancyPuder.com.  You may also go to Facebook.com/Nancy Puder Realtor and "like" her page to access other real estate related articles.