Faced with an incipient growth of rent, real estate experts say moderation in declining price ensures that housing is bottoming. Therefore, many are now posed the eternal question: Buy or rent an apartment in Ames? The Unites States, traditionally, is a country predisposed to buying. It has always been thought that renting is “throwing money away”. Thus, most have preferred to invest their savings in buying property, especially if there was a significant difference between the mortgage and monthly rent.
For many, home ownership is to opt for security and a way to secure the future of your children. This explains why, in the U.S., the rental rate is 32%, compared with 30% of the European average. However, with the housing crisis and the bursting of the housing bubble, it appears that renting has established itself as a real alternative to buying.
Current status: a turning point
In recent years, renting is growing against the purchase; in fact it has gone from 24% in 2011 to 31% in 2013. According to studies, renters have tripled since the beginning of the crisis. Employment and economic insecurity, lack of access to credit and the widespread feeling that, although less, prices have continued to fall. For some, renting is no longer throwing away money, but rather is an option to invest in the future. It is ideal for those who, by choice or not, have the ability to move whenever they want. So many people, having monetary issues, have had to rent.
Is renting the future?
Although renting is gaining in followers, the fact is that with the fall in prices, reductions in interest rates and credit from banks, many people will opt for home purchases. Similarly, measures such as the eviction of existing tenants and a possible increase in tax incentives, could cause rental housing to increase. Meanwhile, experts warn that for the turnaround to be consolidated, it is necessary that the rental sector professionalize and keep competitive prices afloat.
If you are looking for an apartment in Ames, it is best you take your time and choose the right one. Some people consider buy a valuable opportunity, and it is if you’re prepared. For more information, contact Furman Realty.
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