Do people rent (or only buy) nice big homes?
Hi all,
So, I'm looking at buying a property in Deltona (suburban Central Florida), and the rental rate of the previous tenant was $1650, which makes sense for the property. It is a nice spacious 4 bedroom.
My concern though is that many people wouldn't be able to afford it (this is high-rent Deltona), and if you are a family who can afford it - wouldn't you just buy? You can get a decent enough 4 bedroom in the area for $200k.
My real estate agent hasn't led me wrong before, and she responded to this concern with "many renters are not able to purchase due to lack of credit and available cash reserves", but isn't that the definition of a risky tenant, and how many of those renters can afford high rent (this is 30% higher than the median rent for Deltona)?
I heard that there was data on what share of homes in an area are rented vs owned, so I thought that might lend insight, but don't know where to find that or how granular it gets.
Any advice would be appreciated.
Yoni Osteen