Tighter lending standards at play
The national picture looks like this: Fewer homes are selling and rents are on the rise. It's a big change from just a few years ago, when home prices were appreciating like mad and everyone wanted to benefit.
"During the housing boom, the 'rent vs. buy' decision became a "buy," Tighter lending standards also are increasing competition for rentals by locking more people out of home ownership.
the average U.S. asking rent rose 1.1% in the second quarter of 2007, to $1,002, 7.74% higher than it was two years ago. The national vacancy rate fell to 5.8% in the second quarter, from 6% in the first.But if rents keep rising and prices keep falling, fearful buyers could slowly become bargain hunters
U.S. cities where rents are rising fastest
Rank | City | Average rent Q2 | Change from Q1 | Vacancy rate Q2 |
1 | $1,757 | 3.0% | 4.4% | |
2 | 1,473 | 2.4 | 3.9 | |
3 | 2,657 | 2.1 | 2.4 | |
4 | 973 | 2.0 | 4.5 | |
5 | 1,300 | 1.8 | 5.0 | |
6 | 1,493 | 1.7 | 3.5 | |
7 | 1,301 | 1.7 | 4.3 | |
8 | 945 | 1.7 | 5.8 | |
9 | 1,065 | 1.6 | 4.5 | |
10 | 981 | 1.6 | 4.2 |
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