It’s not surprising that the need for rentals has increased in the last few years. With so many foreclosures and all of the hits taken on credit reports, more and more people are turning into renters, some by choice and some by necessity.
It appears that there is also an increase in the amount of builders who are building single family homes that are to be used as rentals. In the past, that mostly happened in lower income areas, sometimes offering government subsidized housing. But today these homes are being built in all neighborhoods and renters aren’t just living in apartments, they’re living in very nice single family homes with granite countertops and stainless appliances.
These new builds will be mixed in with rental properties that were previously homes purchased at foreclosure sale. In the current economy, these homes can be very nice, very new properties. They’re not what you would have pictured 10 years ago when someone said they bought a home in a foreclosure sale.
Of course the downside for a renter like me is that there are more people out there looking for rental properties and this drives up the rents. I’ve personally noticed that the amount I’ve paid for a home has increased by about 20% in the last 5 years. And it isn’t just harder to find another rental when our lease term is up, it’s hard to snag them too. Once you find a property, it can rent within days, putting you back to where you started if you can’t act quickly enough.
If you find that you are nearing foreclosure because you can’t afford your mortgage, you may be forced to become a renter. Bankruptcy can be a way to free yourself from a mortgage you can’t afford, allowing you the freedom you need to get back on your feet and start over. Call Greenwald & Hammondfor a free consultation.
Kerry Hammond, Esq. Bankruptcy Attorney