On Thursday, January 9, ATTOM Data Solutions will release its annual Data Report, which will include analysis of 2019 HUD Fair Market Rents to determine if it will be better for consumers to buy or rent in 2020, and what this will mean for investors.
According to a report from CNBC, more potential buyers will elect to remain rentals due to the lack of inventory and unaffordable housing market. CNBC’s Diana Olick said the stocks of REITs are increasing annually and those companies helping investors buy and sell rental properties are up and seeing “explosive growth.”
“You can come to us with $5,000 and buy a share of a rental home, all the way up to if you have $500 million and you’re a large institution and want to put that to work,” said Gary Beasley, CEO, Roofstock.
CoreLogic reported that single-family rents rose 3.1% year-over-year in October 2019—an increase from 2.9% in October 2018—according to the Single-Family Rent Index.
Single-family rents started climbing steadily in 2010 and have stabilized at around 3% since early 2019.
CoreLogic states that rents on lower-priced homes increased 3.6% annually and rentes for higher-priced homes—properties with rents more than 125% of the regional median rent—rose 2.9% year-over-year.
Rent growth for higher-priced homes gained momentum in October 2019, increased by 0.4% faster than in October 2018. The annual pace of annual rent growth for lower-priced rental homes slowed by 0.2%.
Here's what else is happening in The Week Ahead:
Freddie Mac Primary Mortgage Market Survey (January 9)
Fed Vice Chair Richard Clarida speaks (January 9)