Students next to experience housing bubble collapse

college-student-Move-In1-300x207

From College News - Rents expected to rise 5 percent in 2011.
Students who rent apartments instead of living on-campus can expect to see increases in the amount of rent they pay each month as renters are finally beginning to experience the effects of the real estate market’s collapse.
Up until now, only homeowners have suffered financially due to the collapse of the housing bubble, but with apartment and rental housing construction halved in recent years and a wave of former homeowners competing for apartment space with other renters, conditions have suddenly ripened for landlords to raise the rent, reported MSNBC.
Vacancy rates have been dropping, giving landlords a reason to raise the rent. Nationally, rents are expected to rise 5 percent this year and another 5 percent in 2012, according to Greg Willett, the vice president of research and analysis at MPF Research in Carrollton, Texas.
College students may experience a few more rent increases before they take the step to own property because most first-time homebuyers are in their early 30s, according to data from the National Association of Realtors, as reported by MSNBC.
To combat yearly rent increases, Tammy Kotula, a spokeswoman for Apartments.com, urges renters to negotiate with landlords, or if they know they’re staying awhile, get a multiyear lease that allows tenants to lock in a low rent, reported MSNBC. “You can definitely talk to your landlord and ask to negotiate,” she says. “A two-year lease is a pretty popular option.”
By Kathleen Hagan
From College News - Rents expected to rise 5 percent in 2011.

Students who rent apartments instead of living on-campus can expect to see increases in the amount of rent they pay each month as renters are finally beginning to experience the effects of the real estate market’s collapse.

Up until now, only homeowners have suffered financially due to the collapse of the housing bubble, but with apartment and rental housing construction halved in recent years and a wave of former homeowners competing for apartment space with other renters, conditions have suddenly ripened for landlords to raise the rent, reported MSNBC.
Vacancy rates have been dropping, giving landlords a reason to raise the rent. Nationally, rents are expected to rise 5 percent this year and another 5 percent in 2012, according to Greg Willett, the vice president of research and analysis at MPF Research in Carrollton, Texas.

College students may experience a few more rent increases before they take the step to own property because most first-time homebuyers are in their early 30s, according to data from the National Association of Realtors, as reported by MSNBC.

To combat yearly rent increases, Tammy Kotula, a spokeswoman for Apartments.com, urges renters to negotiate with landlords, or if they know they’re staying awhile, get a multiyear lease that allows tenants to lock in a low rent, reported MSNBC. “You can definitely talk to your landlord and ask to negotiate,” she says. “A two-year lease is a pretty popular option.”

By Kathleen Hagan

Your EduFavs

Please login to view and manage your EduFavs.