With house prices inching up and rents skyrocketing, this could be the perfect time to invest in single family residential real estate. And if you do, you won’t be alone. According to the National Association of Realtors’ (NAR) 2012 3rd Quarter Metro Area Report says “Investors…accounted for 17 percent of all transactions in the third quarter.” More than one out of every six houses sold are purchased by an investor.
In Sam Khater’s most recent Market Pulse report by Core Logic he says that there are a few major takeaways as to why purchasing a single-family home makes sense now and in the future. He states that the single-family rental market remained very active in late summer of 2012 with increases in demand and with inventory becoming scarcer; this has caused rent prices to rise greatly. Khater also says that nationally rental leasing volumes have been up every month for the past two years. He states that in August they were up 7% on the previous year. Lastly Khater talks about how the lower supply of these houses for rent get swept up by either, buyers (land lords) or renters moving into these houses, this has tighten the supply that is available to both parties, making these homes in high by customer demand.
If you are looking for or considering investing in an opportunity like this, contact a Ruhl&Ruhl sales associate for more details. Perhaps purchasing a single-family home to rent out makes sense you?
For more information on the housing market or real estate trends, keep checking RuhlHomes.com
Some information and statistics provided by: KCM Blog