Rent to Own Archives

Renters Missed Out on $51,500 This Past Year

Rents have increased significantly this year. The latest National Rent Report from Apartmentlist.com shows rents are rising at a rate much higher than the three years leading up to the pandemic:

“Since January of this year, the national median rent has increased by a staggering 16.4 percent. To put that in context, rent growth from January to September averaged just 3.4 percent in the pre-pandemic years from 2017-2019.”

Looking back, we can see rents rising isn’t new. The median rental price has increased consistently over the past 33 years (see graph below):

If you’re thinking of renting for another year, consider that rents will likely be even higher next year. But that alone doesn’t paint the picture of the true cost of renting.

The Money Renters Stand To Lose This Year

A homeowner’s monthly mortgage payment pays for their shelter, but it also acts as an investment. That investment grows in the form of equity as a homeowner makes their mortgage payment each month to pay down what they owe on their home loan. Their equity gets an additional boost from home price appreciation, which is at near-record levels this year.

The latest Homeowner Equity Insights report from CoreLogic found homeowners gained significant wealth through their home equity this past year. The research shows:

“. . . the average homeowner gained approximately $51,500 in equity during the past year.”

As a renter, you don’t get the same benefit. Your rent payment only covers the cost of shelter and any included amenities. None of your monthly rent payments come back to you as an investment. That means, by renting this year, you likely paid more in rent than you did in the previous year, and you also missed out on the potential wealth gain of $51,500 you could have had by owning your own home.

Bottom Line

When deciding whether you should rent or buy in the future, keep in mind how much renting can cost you. Another year of renting is another year you’ll pay rising rents and miss out on building your wealth through home equity. Let’s connect today to talk more about the benefits of buying over renting.

Contact us:
PHP Houses
142 W Lakeview Ave
Unit 1030
Lake Mary, FL 32746
Ph: (407) 519-0719
Fax: (407) 205-1951
email: info@phphouses.com

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The information contained, and the opinions expressed, in this article are not intended to be construed as investment advice. The author does not guarantee or warrant the accuracy or completeness of the information or opinions contained herein. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. The author will not be liable for any loss or damage caused by your reliance on the information or opinions contained herein.

Best Ways To Find Homes For Rent Or Rent To Own

Numerous families are searching for elective lodging programs, things like lease to claim and proprietor financing. Much more families are searching for only a house to lease as contradict to a condo. Well in the event that you have ever attempted to discover a lease to possess house or a house offering proprietor financing, you may see that the undertaking is very testing. You don’t realize which organizations or merchants are legitimate and you don’t have the foggiest idea how to get the most determination to take a gander at. Here are a couple of tips on how you should direct your quest when searching for a decent, quality, lease to claim home or for leasing a house by and large.

Tip #1

Search for organizations that offer lease to claim lodging not proprietors willing to give you a lease to possess rent

Organizations that offer lease to possess lodging are substantially more liable to have assets that can enable you to buy the home you are leasing. Many lease to possess organizations have associations with bank moneylender and now and again have credit fix programs. An individual proprietor is progressively worried about simply selling their home and they might not have great working learning of what can assist you with purchasing the home. Proprietors are considerably more liable to leave the obtaining part to you and won’t offer any assistance.

Tip #2

Begin your hunt online before you drive through a territory

As though you didn’t know,you can look through regions a lot quicker on the web than driving and with the present gas costs, why trouble? Most lease to possess homes are recorded on the web and many don’t have signage on the real property. So you won’t realize that the houses are accessible. Notwithstanding, via looking through online you can qualify the property and ensure you meet all requirements for the property before consistently going out. It is certain to spare you some time.

Tip # 3

Quest the top locales for lease to claim, proprietor financing, or rent choices

The top locales that organizations and financial specialists post to are eBay Classifieds, Craigslist, Hot cushions, and lease bits. These locales have the most lease to claim, proprietor financing properties and will lead you to organizations that have some expertise in these kinds of exchanges.

Tip #4

Think about utilizing a real estate agent

A few real estate agents work with lease to possess and proprietor financing, particularly in this tight market. Call a couple of real estate agents and see what they can discover for you.

Utilizing these tips, you should locate an extraordinary, moderate spot. Simply ensure you discover a program you feel works for you and the conditions of your buy are clear.

Walter DiLoreto is the proprietor of PHP Houses. They have offered many houses to meriting families that were not ready to get bank credits at the time.