01-06-14 Ten Things that will Cost More
I enjoy listening to CNN first thing in the morning from the treadmill. Christine Romans had an interesting story today:
10 things you'll pay more for in 2014:
Nuts
A house
Rent
Honey
Chocolate
Satellite TV
Public Transportation
Health Care
Taxes
The details about rent:
Fueled by the slowly improving economy, rents are also expected be on the rise. Market research firm Axiometrics predicts that apartment rents nationwide will rise 3.1% from 2013's average of $1,107 a month, or even more if hiring picks up. "We have so much pent up demand, so many kids that are prime renter age living at home," said Axiometrics president Ron Johnsey. "If the economy recovers better than we are forecasting, then they can become renters." Rents are expected to jump the most in hot real estate markets like California's Bay Area, Portland and Seattle, which are all benefiting from strong local job markets, said Johnsey.
My reality:
I live between the hot markets of Portland and Seattle, but don’t feel like I’ll be enjoying much higher rents this year. Here’s why:
- our local job market is horrid.
- Our target neighborhood had 100 less units available for rent in 2012, but rent isn’t rising noticeably.
- The average rent in our target area is $620, a far cry from $1,107
- The kids living at home are applying the minute they get any job, with no rental or employment history.
On the plus side, deposits are up 9% form where they were last year, at an average of $520.
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