Las Vegas rental property investors who are sitting on the fence because of interest rates may want to hop down on the side of buying. Rents are going up nationwide as the rate increase, right or wrong, is scaring people away from home buying. In truth, mortgage rates remain highly attractive, but the slight bump has permeated the residential sector, making potential owners become tentative owners.
Now’s the time for single-family investors to consider the benefits of a time like this. Never in the last two decades has renting been this popular a living option. In fact, the shift is pointing toward permanence. Now, all that being said, rents for Class-A units dropped slightly in the last quarter of 2015. Nevertheless, nationally speaking, rents are going up.
However, nationally speaking, rents are outpacing income growth. That’s not a terrific thing for the economy of course, as it can create serious long-term housing issues if not addressed in some way.
The Wall Street Journal had this to say about it. All this being said, the worst thing landlords can do now is pushing rent for no other reason than because it’s going up elsewhere. Now isn’t the time to get greedy. Is now a good opportunity to acquire more rental income? Yes.
But it needs to be done by acquiring more property, not pushing rents “too far” on upcoming renewals. Be reasonable, ride the tide and invest smartly.
For more information about Gavish Property Management, and how we can assist, call us today. We can strategize a plan that works best for you and your future tenants.