Rent are rising

[an]

That $300k house that’s $500k now would rent for $2200-2400/month in my area. If it takes 5 years to get that 15% decline, then you’d be spending $132k-$144k in rent over 5 years, assuming rent doesn’t rise for the next 5 years. Seems like a big risk for very little gain. What if it takes 7 years? There’s just too much what ifs.

[an]

[quote=spdrun]
Regarding moving, Americans are way too attached to their “stuff”. There’s so much unwanted junk floating around out there that one can easily buy new furniture off Craigslist or from a thrift store.
[/quote]Not an American thing…

[fun4vnay2]

I have more than one property in socal and not selling my primary as I need a place to live.

Also, my family is not yet there where we hoard things. Every month we do an assessment of what we need and what we have and thus donate/sell a lot

My friends wonder why do I have an empty garage..

But in general, in san diego’s good area, rent vs buy calculation is out of whack and hence one of the reason to pull back.

[spdrun]

^^^

My hero.

[an]

An average SFR in my area, PITI = rent +/- $100. That’s before any tax incentive. Doesn’t seem out of whack to me.

[FlyerInHi]

[quote=spdrun]

Regarding moving, Americans are way too attached to their “stuff”. There’s so much unwanted junk floating around out there that one can easily buy new furniture off Craigslist or from a thrift store.

Apart from books, one old writing desk, everything else that I’m attached to could fit in a few milk crates. If kids are trained not to get too attached to material stuff at an early age, it will be easier for them down the line.[/quote]

I’m not attached to stuff. I can throw away things and start fresh easily.

But I like new, fresh and clean. Unless, I rent in new building or a freshly remodeled place, I don’t really like to rent. I want my place to be prefect with the right improvements and the right lighting.

Good thing I’m not attached to stuff, because the hoarding would not fit in my small condo. I need to own at least a small condo as a home base.

[The-Shoveler]

Its a gamble at best right now IMO, good luck.

I would not count on not paying more if you want to buy back, If you just want to be done, maybe not a bad time.

[utcsox]

Nah, the rent is not really increasing that much in the past two years. I mean you can rent the same unit at the same price five years ago. Blah Blah Blah

http://www.utsandiego.com/news/2015/jun/07/apartments-north-county-rental-bedrooms/

“… In Carlsbad, the average rent for a one-bedroom jumped 11.1 percent in the past year, from $1,544 to $1,716; the price of the average studio edged higher by 4.8 percent to $1,342; and the rents for a two-bedroom climbed 8.6 percent to $1,711…

…

Indeed, North County rents rose on average 7.7 percent in the last year, to $1,515. That a 10.3 percent increase from two years ago.

…

Vista saw an average 11.5 percent jump in rental rates over the past two years, with studios rising to $1,083 from $971 in the past year alone — the most of any North County city in this category, according to the RealFacts data.

In the past year, the average price of a one-bedrooms rose to $1.268 from $1,163 in Vista — a 9 percent jump. That’s slightly lower than the 11.1 percent jump seen in Carlsbad and 10 percent rise in Oceanside, where one-bedrooms went from $1,156 to $1,271.

….

Vacancy rates in Escondido narrowed from 94.9 percent in March 2013 to its current 98.5 percent, while rents rose 10.5 percent to an average $1299 per rental unit from $1,175.

Vacancy rates in San Marcos tightened from 11.8 percent in early 2013 to its current 2.5 percent, while rents rose 7.3 percent to an average $1,646 per rental unit from $1,533.

[spdrun]

A quick perusal of Craigslist yields very few one bedrooms offered in Carlsbad for over $1600. Most are below $1500. Where are they getting an average of $1716? Are they only surveying large landlords?

[an]

[quote=spdrun]A quick perusal of Craigslist yields very few one bedrooms offered in Carlsbad for over $1600. Most are below $1500. Where are they getting an average of $1716? Are they only surveying large landlords?[/quote]
Apartments. They move the market, not the small time landlords.

[utcsox]

[quote=AN][quote=spdrun]A quick perusal of Craigslist yields very few one bedrooms offered in Carlsbad for over $1600. Most are below $1500. Where are they getting an average of $1716? Are they only surveying large landlords?[/quote]
Apartments. They move the market, not the small time landlords.[/quote]

The small-time landlords will take cues from the large apartment complex and raise its price accordingly.

[Coronita]

[quote=utcsox][quote=AN][quote=spdrun]A quick perusal of Craigslist yields very few one bedrooms offered in Carlsbad for over $1600. Most are below $1500. Where are they getting an average of $1716? Are they only surveying large landlords?[/quote]
Apartments. They move the market, not the small time landlords.[/quote]

The small-time landlords will take cues from the large apartment complex and raise its price accordingly.[/quote]

Also, a lot of craigslist postings aren’t “real”. A lot of the posts are “feeler” posts to test how much rent one can push, starting with a low price, etc. But if you actually tried to contact the person, you’ll never hear back from them, ever. I know, because I do it all the time. It allows me to gauge at a given price point, at a particular season in the year, how many responses I can anticipate getting. I should actually put this into a spreadsheet and graph it out in my interested areas, because it’s a pretty interesting experiment. And since I do it, I’m sure I’m not the only one doing it, for the same reasons.

[spdrun]

Even if 50% of the postings are fake, it still wouldn’t make the averages as high as reported.

[gzz]

A quick perusal of Craigslist yields very few one bedrooms offered in Carlsbad for over $1600. Most are below $1500. Where are they getting an average of $1716? Are they only surveying large landlords?

Maybe you are right that $1716 is an overestimate because it avoids random small craigslist landlords.

But it doesn’t matter how they are calculating the average, as long as their method is consistent, then their result of rising rents is correct.

[livinincali]

This is based on mostly large complexes in the San Diego City area. It contain some central east counties like La Mesa, Santee, etc. Rents have been increasing but in the last 6-12 months vacancy rates have been increasing as well and 1 bd room and studio rental rates are starting to lag 2 and 3 bedroom rental rate increases. While rents will probably still go up, there’s a case to be made that they are close to topping out.

[Author]

Posts