Are landlords really having to drop rents.

Are landlords really having to drop rents.

Real Estate Agent · Vineyard, UT · Member since 2020 · 14 posts · 1 vote

I read an Article and it kind of made me think twice about buying a rental property anytime soon. Since I'm new to the game and live in a place called Utah where we live in a bubble that has a 55K unit housing shortage. We haven't really seen rents go down or any of the houses  lasting on the market more than a few days. Is there really going to be a drop in the rental market going on?

https://www.msn.com/en-us/mone...

Thank you 

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Rental Property Investor · Northern, CA · Member since 2012 · 5k+ posts · 5k+ votes
5y

@Bradley G Fagg Agree with the others. Real estate is very regional.

I don’t think you can take what’s going on in San Francisco or Silicon Valley (two places mentioned in that article), and make any sort of accurate comparison with what’s going on in Utah.

I live a short drive from both San Francisco and Silicon Valley, but outside the Bay Area. And I’m seeing the exact opposite of what’s mentioned in that article. (I’m actually RAISING rents.) 

Point is, you have to know your local market and you definitely can’t base your decisions on what’s going on in some other market/state. 

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  • Rental Property Investor · Savannah, GA · Member since 2018 · 174 posts · 129 votes
    5y

    @Bradley G Fagg Someone may have said this, but areas that had high vacation rental demand before covid like my market of Savannah has definitely seen a more competitive rental market with a lot more supply (kind of, only in specific areas of town that were popular short term rental areas). At the beginning of covid this made a lot of airbnb type rentals try for longer term tenants. Also, there were a lot of college student rentals in our downtown area where the school still hasn't come back, so that also caused a surplus of supply. Still, certain areas of the city there's lots of demand, less supply, and rising prices, but downtown still has too many options so renters are much more picky, thus prices are dropped some.

  • Rental Property Investor · Largo, FL · Member since 2021 · 48 posts · 38 votes
    5y

    @Bradley G Fagg rents are up in Florida. I told someone I work with I’m buying a duplex and he shared a meme saying “Banks think I can’t afford a $1,000 mortgage so instead I’m paying $1,400 rent”.

  • Realtor · Boston, MA · Member since 2019 · 91 posts · 60 votes
    5y
     I Second the Earlier mentions of desirability of the doors will maintain and even march along with normal annual increases
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