[EconProf]

As a landlord for many years, I’ve found the best policy is to discover the average market for my units, then ask slightly less and be very picky about chosing tenants. I also raise them slightly each year, always keeping them under (presumably rising) market comps. Tenants are told up front of this policy.
Yes, I’ve seen foolish landlords ask for higher than market rents and then sit on vacancies for a while, or else rent to dregs as tenants. Can’t cure stupid.

[EconProf]

As a landlord for many years, I’ve found the best policy is to discover the average market for my units, then ask slightly less and be very picky about chosing tenants. I also raise them slightly each year, always keeping them under (presumably rising) market comps. Tenants are told up front of this policy.
Yes, I’ve seen foolish landlords ask for higher than market rents and then sit on vacancies for a while, or else rent to dregs as tenants. Can’t cure stupid.

[EconProf]

As a landlord for many years, I’ve found the best policy is to discover the average market for my units, then ask slightly less and be very picky about chosing tenants. I also raise them slightly each year, always keeping them under (presumably rising) market comps. Tenants are told up front of this policy.
Yes, I’ve seen foolish landlords ask for higher than market rents and then sit on vacancies for a while, or else rent to dregs as tenants. Can’t cure stupid.

[EconProf]

As a landlord for many years, I’ve found the best policy is to discover the average market for my units, then ask slightly less and be very picky about chosing tenants. I also raise them slightly each year, always keeping them under (presumably rising) market comps. Tenants are told up front of this policy.
Yes, I’ve seen foolish landlords ask for higher than market rents and then sit on vacancies for a while, or else rent to dregs as tenants. Can’t cure stupid.

[EconProf]

Rents are a supply/demand driven market result. Size, amenities, view, parking, location, age, etc. all determine desirability and thus demand. Supply is fixed in the short run, but vacancy rate is key to predicting the direction of rents.
Naturally, tenants want the lowest possible rents, landlords want more.
JC, at over $2 per square foot, it looks like you are paying over prevailing market rents for Normal Heights. Why? Am curious why this just occurred to you. Did you shop around and compare before moving in?
By all means, move if you can do better. If your landlord is asking above market, he/she will be punished by the market be either having a lengthy vacancy period or frequent move-outs, both expensive results.
The beauty of the market system is that both sides have free will and can make choices.

[EconProf]

Rents are a supply/demand driven market result. Size, amenities, view, parking, location, age, etc. all determine desirability and thus demand. Supply is fixed in the short run, but vacancy rate is key to predicting the direction of rents.
Naturally, tenants want the lowest possible rents, landlords want more.
JC, at over $2 per square foot, it looks like you are paying over prevailing market rents for Normal Heights. Why? Am curious why this just occurred to you. Did you shop around and compare before moving in?
By all means, move if you can do better. If your landlord is asking above market, he/she will be punished by the market be either having a lengthy vacancy period or frequent move-outs, both expensive results.
The beauty of the market system is that both sides have free will and can make choices.

[EconProf]

Rents are a supply/demand driven market result. Size, amenities, view, parking, location, age, etc. all determine desirability and thus demand. Supply is fixed in the short run, but vacancy rate is key to predicting the direction of rents.
Naturally, tenants want the lowest possible rents, landlords want more.
JC, at over $2 per square foot, it looks like you are paying over prevailing market rents for Normal Heights. Why? Am curious why this just occurred to you. Did you shop around and compare before moving in?
By all means, move if you can do better. If your landlord is asking above market, he/she will be punished by the market be either having a lengthy vacancy period or frequent move-outs, both expensive results.
The beauty of the market system is that both sides have free will and can make choices.

[EconProf]

Rents are a supply/demand driven market result. Size, amenities, view, parking, location, age, etc. all determine desirability and thus demand. Supply is fixed in the short run, but vacancy rate is key to predicting the direction of rents.
Naturally, tenants want the lowest possible rents, landlords want more.
JC, at over $2 per square foot, it looks like you are paying over prevailing market rents for Normal Heights. Why? Am curious why this just occurred to you. Did you shop around and compare before moving in?
By all means, move if you can do better. If your landlord is asking above market, he/she will be punished by the market be either having a lengthy vacancy period or frequent move-outs, both expensive results.
The beauty of the market system is that both sides have free will and can make choices.

[EconProf]

Rents are a supply/demand driven market result. Size, amenities, view, parking, location, age, etc. all determine desirability and thus demand. Supply is fixed in the short run, but vacancy rate is key to predicting the direction of rents.
Naturally, tenants want the lowest possible rents, landlords want more.
JC, at over $2 per square foot, it looks like you are paying over prevailing market rents for Normal Heights. Why? Am curious why this just occurred to you. Did you shop around and compare before moving in?
By all means, move if you can do better. If your landlord is asking above market, he/she will be punished by the market be either having a lengthy vacancy period or frequent move-outs, both expensive results.
The beauty of the market system is that both sides have free will and can make choices.

[EconProf]

Let’s remember that recessions are fundamentally deflationary. The deeper the recession, the more likely commodities get hit–and gold is at heart another commodity. Absent a Head-for-the-hills panic atmosphere, gold will fall.
I trust gold as a barometer. I think what it signalled in today’s big drop is the upcoming recession (predicted by other economic indicators today) will be a doozy.

[EconProf]

Let’s remember that recessions are fundamentally deflationary. The deeper the recession, the more likely commodities get hit–and gold is at heart another commodity. Absent a Head-for-the-hills panic atmosphere, gold will fall.
I trust gold as a barometer. I think what it signalled in today’s big drop is the upcoming recession (predicted by other economic indicators today) will be a doozy.

[EconProf]

Let’s remember that recessions are fundamentally deflationary. The deeper the recession, the more likely commodities get hit–and gold is at heart another commodity. Absent a Head-for-the-hills panic atmosphere, gold will fall.
I trust gold as a barometer. I think what it signalled in today’s big drop is the upcoming recession (predicted by other economic indicators today) will be a doozy.

[EconProf]

Let’s remember that recessions are fundamentally deflationary. The deeper the recession, the more likely commodities get hit–and gold is at heart another commodity. Absent a Head-for-the-hills panic atmosphere, gold will fall.
I trust gold as a barometer. I think what it signalled in today’s big drop is the upcoming recession (predicted by other economic indicators today) will be a doozy.

[EconProf]

Let’s remember that recessions are fundamentally deflationary. The deeper the recession, the more likely commodities get hit–and gold is at heart another commodity. Absent a Head-for-the-hills panic atmosphere, gold will fall.
I trust gold as a barometer. I think what it signalled in today’s big drop is the upcoming recession (predicted by other economic indicators today) will be a doozy.

[EconProf]

Another factor about the “good old days” when people had to have 20% down:
Accumulating that 20% meant a few years of saving–an alien concept for today’s consumers. Saving meant budgeting, watching your expenditures, having the satisfaction of seeing that nest egg grow, and forming habits over several years time that did not go away once one bought the house. That self-discipline and the ability to defer gratification is missing today and will have to be relearned.
In fact, perhaps a few years of truly gut-wrenching austerity imposed upon Americans by a deep, deep recession will have its beneficial effects.
As George Carlin liked to say “It’s just stuff”.

[Author]

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