Renters Boon

The housing industry is definitely in the recovery process. Where it will lead is anyone’s guess however, if history suggests anything, we will have a boon. Now it does not take a rocket scientist to figure out our economy is based on a cycle. We happen to be at the bottom of one and all things indicate that we are trending positively from a recession to growth. Depending on who you ask and what you read, not all experts agree on the timing of the growth stage. This brings us to our topic of discussion.

Renters make up approximately 40% of new home buyers. This includes previous homeowners and first-time home buyers. This is an important statistics because renters today are equipped with resources to make a well-informed decision on what to purchase. The internet provides an enormous tool to research properties and real estate agents, which allows significant amount of due diligence to be performed prior to a home viewing. The reality is renters have a certain expectation on what they are looking for. Many renters I know are handy and enjoy do-it-yourself projects. Keep in mind, that many renters were once previous home owners so they understand periodic maintenance and improvement. They have made it clear that minor cosmetic to major construction work is something they will not shy away from and some even prefer it. Who wouldn’t want an under-valued asset?

With rental rates at a high and vacancies at a low, renters can choose to make a purchase that will only benefit them for many years to come. Include the lowest rates in history and low prices; you have a recipe for many renters that can pave the way to economic growth.