Landlords should expect the rental market to remain healthy in the year ahead...
Fairfax, VA (PRWEB) January 30, 2015
Real Property Management Pros of Northern Virginia, part of the nation’s leading property management company, forecasts that landlords of single-family homes can expect steady demand from renters through 2015. The projection is based on an analysis of economic factors known to impact the rental market conducted by Real Property Management.
In post-recession America, families have increasingly turned to renting homes as a way to enjoy the lifestyle of homeownership without the significant financial commitments that come with buying. Since 2006, the number of renter-occupied single-family homes has soared 31 percent, according to the U.S. Census, a shift that has been a boon to real estate investors.
Further underscoring the strength of the home rental market, Real Property Management added thousands of new properties nationwide last year as landlords sought the company’s help in overseeing the day-to-day management of their investment properties.
“The economy is improving in a lot of ways, but many Northern Virginia-area families will continue to view renting homes as a more affordable option than buying,” said Ashley Leigh, Owner, Real Property Management Pros of Northern Virginia. "That means landlords should expect the rental market to remain healthy in the year ahead.”
In making the forecast, the experts at Real Property Management analyzed a host of economic conditions from the perspective of landlords. Key trends signaling the health of the rental market include:
- Housing market shifts to renting – The homeownership rate reached a 19-year low last year. While that’s a bad sign for home sales, the dip in the number of Americans owning homes translates to an increase in demand for rental homes.
- Stagnant incomes push homeownership out of reach – There are clear signs the economy is improving, including the lowered unemployment rate. However, with real median household incomes remaining flat last year, the economic situation of American families is not improving dramatically, keeping homeownership out of reach for many. With families needing a place to reside, renting will continue to be a more financially viable alternative.
- Lowered supply of rental homes boosts profits for landlords – The U.S. rental-vacancy rate fell to 7.4 percent last year, according to the U.S. Census, indicating a deficit of single-family homes to rent. The lack of available rental homes allowed landlords to raise the average rental rate to $757, according to the U.S. Census, increasing their return-on-investment. While supply will catch up to demand for rental homes in the long run, investors can expect the landlord’s market to continue through the near future.
Real Property Management is the leading property management franchise in the nation with more than 260 offices in 44 states. The company specializes in managing single-family homes, townhomes, condos, multiplexes and small apartment buildings. Its services include finding and screening tenants, completing the lease agreements, collecting rent, maintaining the building and grounds, arranging for any necessary repairs on a 24-hour basis, and processing evictions when necessary. Real Property Management also manages the legal compliance for both state and federal real estate law.
About Real Property Management
Real Property Management is a privately held, Utah based corporation with over 25 years of experience providing full-service residential property management for investors and homeowners from more than 260 offices throughout the United States and Canada. For more information about Real Property Management, property management services or franchising opportunities, visit http://www.realpropertymgt.com/ or http://www.propertymanagementfranchise.com/.