Saturday, July 20, 2013

How is the Rental Market?

There seems to be a solid demand for rental housing. I placed an add for a rental unit and have been flooded with inquiries.

According the the federal Housing and Urban Development, rents continue to rise.

Below is the HUD Fair Market Value chart for 2012 followed by 2013...

These charts are for Clark County at large and are used for HUD's various programs to evaluate rents for a variety of things such as subsidized housing, rents used as income for mortgage loans, etc. These values tend to be conservative in nature. Although it is only a guideline we see a upward trend that does not appear to be slowing down. Some of Clark County's hottest neighborhoods have seen rent increases of 20% over the last year which is far greater than the roughly 5% indicated on this chart.

For prospective home buyers this means you can lock in a 30 year fixed payment now rather than face increasing rents over the next few years. Home prices are on the rise but rents are too. Jump in while mortgage rates remain low or continue to hand your landlord more and more of your hard earned cash.

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