Landlords could be facing hard times
By emitchell
Wednesday, August 6th, 2008 at 10:37 am in Price Check, The Market.
When the homes sales market started to sink, apartment rentals saw gains as fewer people were able to swing a mortgage. Now a Reuters story is asking whether landlords and investors in the apartment sector could be looking at hard times due to rising unemployment rates. Of course, the flip side of that could be lower rents.
The U.S. housing market’s life-support status for the past few years has helped reinvigorate the apartment sector, as tougher mortgage requirements helped landlords retain tenants, while the growing job market kept renters on the move.
But like the U.S. housing market, the U.S. apartment sector — and its investors — could soon find itself pining for days long gone.
Despite posting significant profits in the second quarter, most apartment companies have warned that the second half of 2008 won’t be so rosy.
“The collapse of the housing market has meant that there are fewer people leaving apartments to go buy homes,” said UBS analyst Alexander Goldfarb. “That sort of helped the back door. What comes in the front door is driven by jobs. Jobs and rent are highly correlative.”
Media news photo of Oakley apartment buiding.
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August 6th, 2008 at 1:05 pm
Landlords are the dry rot in the teepees and igloos of speculative weasels greed and hunger for spine-clenching leeches.
August 10th, 2008 at 11:40 pm
Re: Winthro Fart Esq. (ya I am sure)
I don’t know why you seem to think that the people with means are “DRY Rot” I live in a home that is worth give or take $500,000 - $650,000 and I pay rent as if the mortgage was only $200K - $250,000 so I guess it is how smart one rents that would determine who is “dry rot” and who is not. I for one love my land lord, and NO he / she is not family. Who knows where you might live maybe your landlord is not so good, My question is if that is the case, WHY are you still there? Heard of FREE Will? “Winthro”
August 12th, 2008 at 8:03 am
“People with means”? Most of the landlords in my neighbourhood are landed gentry by default, slumlords by indigence or bordello bandits by hysteria libidinosa. And by the way Chuk check your Chaucer, it’s Farte — with an e.
August 15th, 2008 at 1:46 am
It was a Purposeful typo…
August 20th, 2008 at 11:53 am
Property investors! Take note of the thoughtless slum minded reflections in some of the above. DON’T INVEST IN OAKLAND REAL ESTATE until you’ve carefully reviewed
the endless verbgarbage contained in Oakland’s ‘Just Cause’ Rent Control Measure EE. It essentially conscripts your investment property as a source of Oakland subsidized housing, with YOU as (market place) subsidizer and potential receptacle for a lot of mean spirited renter abuse!
Hey Oakland primary residence owners, what happens if you have a family emergency or job opportunity that necessitates your leaving the area and renting out your Oakland home to help pay your high mortgage?
Answer: You cannot later evict to sell your home unless you move back in and live there for several years before selling. Evicting to sell your home is NOT a “JUST CAUSE” for eviction under Oakland Measure EE Rent Control.
There’s a lot of ‘bell shape curve’ bottom feeder brain & gas Fart(e) permeating Oakland’s once pristine landscape. If you own a home in Oakland sell and get out. If you’re thinking of buying in Oakland, DON’T!
Buy your toilet in a house, not your house in a TOILET!