The housing market is starting to cool for the first time in 10 years, and even though most economists are analyzing what that means for the economy, the reality is that a cooling housing market can often have a bright side for renters.
When rental markets begin to cool, many tenants will be able to ask their landlords for concessions if they sign longer lease renewals, while other renters may be able to negotiate lower rents before their leases renew.
Home Sales And Their Impact on The Rental Market
In Southern Nevada housing sales have declined more than 10% (year-over-year), this means that many homes are currently sitting vacant, waiting for buyers that may never come.
For San Diego, the housing market remains robust and it was recently classified as the 5th most expensive rental market in the United States, while the Phoenix rental market continues to cool, especially as home sales are down by 41% year-over-year.
Higher Rents Are Here to Stay
Sadly, higher rents are here to stay because most landlords are still catching up financially after not being able to collect rent for more than one year due to COVID-19.
The good news is that tenants have more options available to them than in recent years because many homeowners in housing markets like San Diego, Phoenix, and Las Vegas have been stuck with houses that haven’t sold and they will likely rent their homes, especially if they’ve already moved onto other properties.
Contact GoldenWest Management
At GoldenWest Management, we specialize in managing single-family and multifamily properties in San Diego, Phoenix, and Las Vegas.
If you’re stuck with a home that hasn’t sold, and you’re thinking of renting it out, contact us today for a free rental analysis at (866) 545-5303 or click here to connect with us online.
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