• Phone: (714) 420-1997
    Email: vlong@uamco.com

  • Rental Prices are Changing: Higher Cost and Less Space

    August 1, 2016
  • If you feel like your rental options are getting smaller, then it means that you are in the same difficult situation that many renters are facing. Costs are going up, and spaces are smaller, making it harder to find a comfortable rental unit within your budget.

    Costs are Going UpRental Prices are Changing

    A recent report showed that the size of new apartments is about 8% smaller compared to new apartments that were built ten years ago. At the same time, the rental rates have increased by 7% within the past five years.

    As square footage shrinks and price increases, it becomes more difficult to rent a place that is big enough for your family. The national average for rent this year is $1,296, which is $319 more per month compared to the average of $977 in 2011.

    The cost of construction has increased, which in turn has increased the cost of building the apartment complex. As a result, these increased costs are passed onto the renters. Additionally, builders are looking for ways to fit more units into a building to maximize the return on investment for the property. By adding more units within a building, the size of each apartment decreases.

    Stop Renting and Buy a Home Instead

    If you are still renting, then right now is a great time to consider a home purchase. Instead of flushing your hard earned cash down the drain each month, those monthly payments can be applied towards a home of your own. There are many advantages to buying a home instead of renting an apartment.

    The rising rental rates have created an affordability issue for many families. By looking at the numbers, it is easy to see that you might be able to afford a home purchase instead of paying these higher rental rates.

    Are you wondering if you can afford to buy a home? The best thing that you can do is talk with a mortgage expert for more information about financing the purchase. Here at United American Mortgage Corporation, our goal is to help you get the best financing for your home purchase. Contact us today for more details: (714) 420-1997