Consumption and Real Estate
Can somebody please tell me why rental prices have increased so much over last couple of years?
Question : Can somebody please tell me why rental prices have increased so much over last couple of years?
Rentals have increased to exhorbitant levels over the last couple of years and I do not know what cities I am going to get answers from, but it seems to me thru checking into rentals/one bedrooms and duplexes in various desirable cities around the U.S., such as New York, Chicago, Los Angeles, San Francisco, Miami, even locations in great places like Colorado and North Carolina and Tennessee have gone up soooo much! Surely the property taxes, insurances taxes, etc. have gone up, but not that much to justify “higher than the sky” rent increases. Would love to hear from you out there in your city, tell me how goes it there. I am living in Miami, Florida. And on top of that owners do not want to be responsible for anything or the bare minimum upgrades and repairs. The tenants where I rent do not have leases, we’re month-to-month. Had one when I first moved in. It’s the same old story, everything goes up except the incomes!! Thank you so much for your responses guys!
tennessee property insurance
Best answer:
Answer by gene b
It’s called economics 101. Take a class.
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#2 written by lynnguys 1 year ago
Inflation and demand. San Diego has one of the hottest housing markets in the nation and most rentals have gone up due to the economy and demand. Leases are common to insure that owners are paid and to protect the renters. The median priced home is $ 622,000.00. So, I am not surprised when I hear that most 2 BD/ 2 BA apartments or condos rent for over $ 1000.00. It is just supply and demand.
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#3 written by SexyTrojan 1 year ago
It sucks. It’s because the housing market is so darned high. If one person rents out their house or condo, they have to be able to make a profit and cover the mortgage.
I live in Los Angeles/Beverly Hills. I pay $ 1450 for a nice 2 bedroom apartment. My landlord is old and cheap and he rarely fixes anything.
A condo next door is on the market for over $ 700,000!!!!!
A 2 bedroom apartment a few blocks away is $ 7000 a month.
A mobile home in Malibu, no ocean view, is $ 1,000,000.A few weeks ago, I volunteered for Habitat for Humanity. The house was cute, but small and in a terrible area. I’m an engineer and I could not afford to buy that piece of crap.
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#5 written by grrl 1 year ago
Cost of living increase. And there are a lot of people who have bad credit & don’t make enough money to make a $ 10 to $ 40 thousand down payment. Landlords know they can get more and people will pay whatever, unless they want to be homeless. Supply & Demand.
Though, in my area you can get a 3 bed 2 bath for $ 600 per month, more if you have pets. - Comment Feed for this Post
I believe that there are a couple reasons rent has risen so drastically in the past few years. The first is that most major cities have made attempts to cut down on crime through gentrification. They clean up the not-so-safe areas and build a Starbucks and suddenly people want to live there again.
The second is that the housing market has gone insane and property values have skyrocketed. Therefore many people who wanted to purchase a home can not afford to, so they are forced to rent. The landlords know this, and coupled with gentrification and their own increased property values, they raise the price of rent.