FLorida – Barron’s Magazine recently had an article titled “Renter Nation.” In it, they detailed the various factors at work that will reduce the homeownership rate in America.
The homeownership rate has already dropped from 69.2% to 66.9% today. Here is one of the factors Barron’s said would cause the homeownership rate to drop. Experts project that the average American Household will become younger over the next decade.
Younger households are more likely to rent versus purchase a home. However, the article missed another big factor. So many people have ruined their credit and can’t qualify for a mortgage.
How many people in America are doing a loan modification, short sale, or let their home be foreclosed upon? It’s hard to buy another home when that happens. Demographics, the lousy economy, and the credit disaster combined mean that demand for homes may stay low for a long time.
The positive news is that all of these factors have propped up the rental market. Rental rates are actually increasing in most areas, despite the slow economy.
I think one of the reasons this is happening is because banks are so reluctant to modify loans.
And, even thought rental rates have increased, they are usually lower than owning a home bought at the peak of the market. Thinking about a short sale?
I can help you short sale your property and never pay the bank another penny. Send me an e-mail at info@FloridaConnectsInc.com. I will contact you for a free consultation.
When we talk, I will explain how the process works in detail and answer any questions you may have.
Thanks for reading this, Annett T. Block.
Annett is a Real Estate Agent/ Real Estate Broker at Florida Connects Incorporated.
Annett T. Block specializes in loan modification assistance and short sales Florida. Celebration Loan Modification Help, Celebration Short Sales. Celebration Short Sale Realtor. FL Short sales.Florida Short Sales. Florida Realtor.
This is not intended as legal, technical, or tax advice. Please speak with a licensed professional before making any decision. Information is deemed reliable but not guaranteed as of the date of writing.
The views expressed here are Annett T. Block’s personal views and do not reflect the views of Florida Connects Incorporated.
This information on Florida Home Sales: The Homeownership Rate continues to drop is provided as a courtesy to our viewers to help them make informed decisions.