.

Rental Property: Are Rental Properties in YOUR Future?

With the amount of renters in Lakewood, at some point or another you've probably entertained the notion of becoming a landlord. Rent prices are on the rise, why not now?

How much interest is your savings earning in that money market account or CD? If your answer is about1% then you’re right there with the average American, and that puts you between 1.5 and 3% behind the growth that folks who’ve made the move to invest in rental property have seen.

US News is reporting that rent prices rose 4% in 2011, and the National Association of Realtors are projecting an identical rise in 2012 and again in 2013. How does that play out for the investor though? What’s driving the increased prices?

For the answer to the second of those questions, it’s a simple matter of supply and demand. The two are inversely related, meaning that as supply increases, demand decreases and as supply decreases, demand increases. There’s just not enough on the market to rent, which is why our office’s new property management service has qualified renters that can afford $1400/month in rent that don’t have a place to go. More renters than rental units available means it’s a “landlord’s market” right now in the world of investment properties.

So to the other question, what does this mean for the investor, or even the first time investor? In addition to the current “landlord market” in the rental game, housing hasn’t been this affordable in a long while. If your CD can’t do better than 1% returns, what’s to stop you from looking at a better return with 4% projected growth annually over the next 2 years?

There are a lot of Americans who are starting to find the jobs that get them out of Mom and Dad’s basement and back out into living on their own. They are leaving home (again) and finding places to rent. Somebody is cashing that rent check every month, and that somebody could be you.

We’d be glad to help you find an income property to invest in, so let us know what we can do for you!

216.926.0248
Cory@TheSalemTeam.com 

This post is contributed by a community member. The views expressed in this blog are those of the author and do not necessarily reflect those of Patch Media Corporation. Everyone is welcome to submit a post to Patch. If you'd like to post a blog, go here to get started.

Michael Rice May 07, 2012 at 02:51 PM
Sounds like a infomercial. No thanks!
Joe Slops May 07, 2012 at 03:00 PM
This is the second article in two days that ended up being an advertisement. Fool me once, shame on you, fool me twice, shame on me!
Cory Blair May 07, 2012 at 03:02 PM
As I re-read my post, Brian, I can see what you mean! Sure, I sell homes for a living, but my goal was to bring information to light about income properties that the average consumer is unaware of. Did you learn anything in my 'infomercial'?
Cory Blair May 07, 2012 at 03:13 PM
How can I better adjust content/style to reflect more of what you're hoping to find on the Patch?
Peter Grossetti May 07, 2012 at 06:17 PM
Direct from Patch Terms of Use: "You may use this Service solely for personal and non-commercial purposes. That is to say: You can’t use the Service to make a living unless you enter into a separate agreement with us that says you can." But then again, TOU also says "You may not use any aliases or other means to mask your true identity" ... and I'll bet 60% of posters do NOT use their real full names (which, btw, irritate me to no end and I just don't understand why those folks are allowed to continue to post.)
Matthew Somich May 08, 2012 at 03:11 AM
Does anyone want to buy my rental house? My wife and I became reluctant landlords when she got a job transfer and we could not sell our house. The crazy thing is that with interest rates being so low you could buy the house with monthly payments hundreds of dollars less than what we are getting for rent.

Boards

More »
Got a question? Something on your mind? Talk to your community, directly.
Note Article
Just a short thought to get the word out quickly about anything in your neighborhood.
Share something with your neighbors.What's on your mind?What's on your mind?Make an announcement, speak your mind, or sell somethingPost something
See more »