BrokerageIndustry News

Rising rents and the real estate recovery

Strong incentive for home purchase: your landlord

There is some good news stirring in the market, specifically for Central Florida real estate agents.Annual rents are going up! "Asking rents for apartments in metropolitan Orlando are expected to increase 2.9 percent this year to a midpoint of $863 a month", according to an annual forecast by Marcus & Millichap, the Orlando Sentinel reported earlier this month. Eight days later, the Orlando Sentinel published an article with the headline: "Home prices rise as fewer listed for sale." What does one have to do with the other? Homeownership will grow in direct proportion to how renters start buying homes again. We all know that there is not now, nor will there ever be, a more effective home purchase incentive than rising rents. Those who can buy, and want to buy, have been waiting for this moment. These are the renters who are qualified to purchase -- the ones who never considered renting for the rest of their lives. Increased rents help them refocus on th...

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