Real Estate Investors have dominated the US Housing Market over the last year, creating a Housing Bubble. Especially in cities like Phoenix, Atlanta, and Tampa, where investors have bought up homes and pushed rents up.
But now problems are arising. Data from the National Multifamily Housing Council (NMHC) shows a record surge in tenants NOT PAYING RENT. Meanwhile, data from the US Census Bureau reports over 5.5 Million Americans who expected to be evicted or foreclosed on in 2022.
August 2021 Rent Bubble Video: https://youtu.be/OI_g85Dn5lk
NMHC Rent Tracker: https://www.nmhc.org/research-insight/nmhc-rent-payment-tracker/
Eviction Lab: https://evictionlab.org/eviction-tracking/
Zillow Rent Data: https://www.zillow.com/research/data/
US Census Pulse: https://www.census.gov/data-tools/demo/hhp/#/?areaSelector=msa&measures=EVICTFOR
This is not surprising. Rents have surged by over 20% in many Housing Markets across America over the last year, particularly in real estate markets like Atlanta, Phoenix, Miami, and Austin. Unfortunately, local wages have not come close to keeping up.
For instance, in Atlanta wages are only up by 2% while rents are up by 21%. In Austin wages are up by 5% while rents are up by 22%. Real estate investors are taking advantage of renters in these markets, jacking up rents to unsustainable levels and creating a Housing Crisis.
This situation was created by a combination of real estate investors speculation in the market to go along with a huge dose of government stimulus over the last 2 years. An eviction moratorium, foreclosure moratorium, and stimulus checks artificially inflated the demand for Housing and helped inflate the 2022 Housing Bubble to even bigger proportions.
But now that inflation is here, interest rates are surging, and rents are way up, the party is over. American renters can now longer sustain themselves are have stopped making rent payments. This will have a big impact on the real estate investors who have been piling into the Housing Market.
Many will begin to regret their decision to buy. Some will start to sell. And this could help cause a massive Housing Crash and Rental Market Crash in certain cities across America.
Image(s) and/or Footage used under license from Shutterstock.com. https://www.shutterstock.com/
Additional stock footage provided by Videvo. http://www.videvo.net/
CHANNEL MEMBER: https://www.youtube.com/channel/UCVTQunGrE3p7Oq8Owao5y_Q/join
CONACT US: https://reventureconsulting.com/contacts/
DISCLAIMER: This video content is intended only for informational, educational, and entertainment purposes. Neither Reventure Consulting or Nicholas Gerli are registered financial advisors. Your use of Reventure Consulting’s YouTube channel and your reliance on any information on the channel is solely at your own risk. Moreover, the use of the Internet (including, but not limited to, YouTube, E-Mail, and Instagram) for communications with Reventure Consulting does not establish a formal business relationship.