Delaware City, DE · Member since 2016 · 25 posts · 13 votes
All,
I often see on here landlords that charge around $1,300 for rent but I personally don't know anyone who pays such high rent. If you have $1,300 rent why not buy? I know people usually say that they don't want to settle in the area for long so they don't buy but i'm sure if the deal was good enough then they could sell with instant equity. Also I hear people don't have good credit so they can't buy, but some landlords screen out bad credit tenants. Obviously if they live in NYC I understand but 1,300 buys a lot of house in other areas. So what I want to know is who is paying all this rent after all?
When I lived in California I paid $ 2400 and that was a bargain, because I was 30 miles south of L.A. And no, I couldn't have bought with that money. Same in the SF Bay area.
Maybe it's a lot for rent in Delaware City, but it might not be somewhere else.
Up here in North Idaho a nice 3/2 will go for $1300 a month.
One has to understand that rent prices, in a way, correspond(sp) to home market values. You are not going to find rent prices for $2500 in an area where the median home is $200K. Where as, you won't find rent for $700 in an area where median home prices are $400K. Unless some other market condition exists i.e. extremely low inventory.
My rentals are furnished, bills paid, and rent by the week. A basic 2 bedroom house goes for $350/week. My biggest house has 4 bathrooms and 8 beds, it rents for $1400/week. The typical stay is 2-3 months. The houses cost $6-$8 per square foot, they are bank foreclosure sales. The only people I rent to are refinery contractors.
It's all about location. $1,300 is a ton in some places. However where I am, that's only slightly more than my monthly real estate taxes.
I have a SFH here in Long Island that I rent out. It's pretty large and has a big yard, but isn't really anything special, just you basic home, for $3,500, utilities not included.
In NYC upper west side I pay $3400 for a 1 bedroom on the 1st floor. Location location location is the key here and always. In Places like NYC you pay for location not for the size of the apartment or condo. Rentals and sales are always about location, amenities, and condition of the property. So if someone is getting less money for their rentals then the surrounding properties I would look at what you can add or change to enhance your rent on your properties.
@Pat Mulligan@Anton Watt The Atlanta Housing Authority maximum rent for Section 8 is $4,050 per month. This is for a 6BR unit and only applies to certain areas of the city. So you'd have to find a very large low income family to qualify and you would have to own a 6BR unit in a higher-rent area of the city that you were willing to rent Section 8. AHA policy is to pay market rent, so this is just the theoretical maximum, but I'm pointing out that very high rents are possible in this program.
The portion of rent paid by the voucher holder is based on their income and family size. They pay what they can afford based on a formula, it is not based on a fixed percentage of the rent. To the point of this thread, $1,300 is well within the realm of possibility of what AHA will pay for a nice 3BR unit in an average Atlanta neighborhood.
I have high end properties renting for $3600 a unit and up. Something that people need to realize is that both sets of Booners are thinking differently now. Baby boomers just want ease of life...Echo Boomers For many reasons would rather rent too. Embrace it and live that EVERYONE doesn't want to be a real estate investor.
We do. Currently renting on outskirts of Denver metro for $1460 plus utils = ~$1600 housing cost. In a large apt complex with terrible management, mediocre maintenance, and diminishing amenities.
Reasons:
Location - work transferred me here less than a year ago on 2 weeks notice so rented a place for short commute time
Location - Denver market = not as bad as SF or NYC but expensive enough compared to income if you're not a techie making $75k and sharing a house with your 3 frat buddies
Down payment - We have owned before but in the past handful of years have moved a lot and started a couple businesses with our savings which were not successful so are re-saving up a down payment
Our credit would be fine for purchasing (good enough that we did not have to put down any security deposit at this complex) but we are lacking the down payment to purchase locally
Ease of living at the moment and fixed, plannable costs of housing. No major repairs etc to worry about while we get settled in, or taxes going up, etc etc.
The rental market here in Denver metro looks like it will go nowhere but up in the next year or two - Denver is still #4 or something like that in national rankings of "people moving here" and they're building like crazy. Don't know what the developers are pulling permits for 5 years out tho; I'd be curious to know that.
LOL what an ignorant statement. I used to pay $4,800/month in rent in miami beach before I bought my first place out there. In certain markets, miami is one, condos are significantly cheaper to rent than buy. I own a ton of $50,000 townhomes in texas that pay me $1000/mo in rent but in miami beach I leased a place that was $1.3M for $4800/mo and it was a pretty good deal imo bc maintenance + taxes was $3200/mo alone. In a place like miami there are more investors than real buyers so the markets are flooded with renters. After 2 years of renting, I found a unit I wanted and bought but you'd be lucky to get $3500/mo in rent in south beach on a $1M condo, on the flip side you probably make 10-20% in appreciation over a year if not more. I've sold 3 condos in miami over the last 5 years and have made plenty without even remodeling a place sometimes, its a wild market.
I know it may sound like alot to you, but one of my neighbors there was paying $20,000/mo in rent for his place, he could easily buy whatever but why deal with the headaches of a $4-5M condo when you can maintain liquidity and for a guy like him making $250k/mo paying $20k wasn't going to financially ruin him.
I pay 1300 for rent but live in Fort Lee NJ on a ground floor in a small and private condo complex. I'm about 3 blocks from the gwb and have transportation everywhere. work in jersey off route 80 (2blocks away) and travel to NYC at least 4x a week so I rather rent for convenience since fort lee houses are very expensive. 1300 in Fort Lee NJ is quite cheap for a nice apartment