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Renting is starting to become more attractive than owning

12/16/2016

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America is a nation of home buyers. Owning a home is the original American dream, but when the growth in home prices outpaces the growth of rental prices and people find themselves paying more than necessary just to be able to live somewhere, the alarms start going off for signs of a bubble. 

Four years ago, home prices fell sharply in major US cities, rental prices increased and the market shifted in favor of buyers. Now, rent growth is flattening out and according to the National Index tracked by FAU and FIU faculty, home-price appreciation has outpaced rent growth in 23 metroploitan areas, signs of a market that is trending back in favor of renters.  

Although no evidence of a bubble exists, for the first time in a few years, renting is beginning to look like a much better alternative than buying.

If you are a landlord, get ready for an influx of tenants looking to move into your properties. Being well informed and equipped with facts from credit reports, background checks, eviciton records and other tenant screening reports is key to a succesful investment. 




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