The Idaho Rental Game is Good!
More good news for anyone who is looking to get into the rental property business. Zillow recently released their "Zillow Rent Index" which examines the home rental markets around the country. Despite falling home values, the median rent rate increased 3% from January 2011 to January 2012. We have seen locally here in the Eagle, Meridian and Boise rental markets this has been more like 5% over the last year. This is true all over Ada and Canyon County rental markets.
That 3% national number is higher in many markets, in some cases matching the home value decline rate. For instance, in the Minneapolis market, home values fell just over 8%, but rent rates rose 11%. We’re seeing similar numbers in other big cities, with values dropping over 10% but rent increasing by 9%.
According to Zillow Chief Economist Dr. Stan Humphries, “A thriving rental market will stimulate home sales as investors snap up low-priced inventory to convert to rentals. That, in turn, will lower the number of homes on the market, which will eventually help put a floor under the values of all homes.” Tipping Point alert...the best deal real estate even from a few months ago and those pricing levels have disappeared quickly.
Boise Premier Real Estate is your source for Boise, Meridian and Eagle Real Estate, Boise MLS, and Boise and Eagle Real Estate Professionals. Our team of Eagle and Boise real estate experts have the skills and knowledge you need to find a new home in Boise, or throughout the process of selling an Boise home. We are boise premier real estate.