patrick.net

A new financial movement is gaining traction, one which says it's better to own than to rent. One can debate the idea, but a by-product of this new trend is that if more people want to rent then we're likely to see higher rents and fewer vacancies — good news for those who want to use foreclosed properties for investment purposes.

Research from Reis, Inc. shows that throughout 2010 vacancy rates for apartments fell to virtually zero while rents increased each quarter.

“The fact that effective rent increases kept pace with asking rents implies that concession packages are likely no longer increasing,” said Reis in its January Apartment, Office, and Retail Sector Trends report. “Despite tepid economic growth and an anemic recovery in the labor market, households appear to be returning in droves to the rental market and signing leases.”

http://www.realtytrac.com/content/news-and-opinion/buy-and-hold-investors-benefit-from-tighter-lending-returning-renters-6460

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