Let's NOT Disparage Tenants! They may be the WAY out of THIS real estate mess!

By
Property Manager with Gibson Management Group, Ltd.

Several years ago, the idea was floated that the federal government would FORGIVE deliquent mortgages and RENT to the current owners as if they were tenants.

 

Somehow, that idea "never made it out of committee" so the MARKET has created the ALTERNATIVE whereby owners with unsold homes who NEED TO MOVE are leasing their UNsold homes.

This is happening ALL ACROSS THE COUNTRY and there is a CONGA LINE of homeowners becoming renters and renters who are remaining renters.

When the TIME IS RIGHT, the economy is more stable, employment longevity returns, mortgage underwriting returns to sanity * many of the current renters will be able to SELL their current real estate and BUY in their current location.....however, many will not. 

I suspect that there is a generation or two of Americans who will never itch to buy their first house which may or may not be sad.  They will be happy in their mobility, their ability to change rental homes as their children progress in schools and they seek specialty education or they wish to incorporate additional members into their household without it costing them a 6% commission.

Property owners becoming LANDLORDS

* REDUCES the amount of foreclosures in an area

* REDUCES the number of STALE properties which are on the SALES market

* REDUCES the PERCENTAGE of UNSOLD properties that are being factored into many of the MEDIA statistics as EVIDENCE of the continued BAD housing MARKET * Allows time for the AREA real estate market to RECOVER so that the area's tax base is not adversely effectedmark and area TAXES are not increased

* Allows new residents to the area to get established in their NEW LIVES so that they are in a position to BUY faster!

SO Disparaging these customers because they are not buying a home is a mistake and agents who do so do so IN public and in their blogs may be doing themselves and their real estate career a great deal of damage!

 

Posted by

Wallace S. Gibson is a Certified Property Manager with over 50 years of property management experience and expertise.  She maintains a specialized property management business in Central Virginia serving Albemarle, Greene, Fluvanna and Louisa counties  

LandlordWhisperer

View our available Charlottesville, Albemarle and Lake Monticello rental homes online with photos and floor plans

"...to be a Virginian, either by Birth, Marriage, Adoption, or even on one's Mother's side, is an Introduction to any State in the Union, a Passport to any Foreign Country, and a Benediction from the Almighty God...." Anonymous

 

Comments (5)

Kathy Torline
ERA Herman Group Real Estate - Colorado Springs, CO
Colorado Springs Real Estate Blog 719-287-1049

Since I'm both a Realtor and a Real Estate Investor, I'm all for renters.   It's an amazing time to invest in real estate and become a landlord!

May 17, 2011 12:17 AM
Wallace S. Gibson, CPM
Gibson Management Group, Ltd. - Charlottesville, VA
LandlordWhisperer

I was around in the downturn in the 70's.....renters keep property owners from going under for several years!

May 17, 2011 02:34 AM
Pamela Seley
West Coast Realty Division - Murrieta, CA
Residential Real Estate Agent serving SW RivCo CA

I agree, do not disparage renters. Many are investing in real estate to become landlords. It does a service to the community.

May 17, 2011 08:21 AM
Gabrielle Kamahele Rhind
KGC Properties LLC, Tucson Property Management & Real Estate - Tucson, AZ
Broker/Owner

HI WALLACE!  Great point!  I invest in real estate, do property management and sell real estate - I'm all in favor of all and really, everyone in this business can benefit from not being close-minded!

May 17, 2011 10:28 AM
Ricky D. Sadler
Real Estate Marketing Experts &Trusted Senior Advisors on Property Management services, Rentals Leasing, Landlord Ten... - Seattle, WA
Trusted Senior Property Advisor & Marketing Expert

Wallace-Thank you

Buy-build-grow! Putting your head in the sand really is not great answer-but learning a new language maybe the key!

 Ricky D

www.rd-house.com

May 17, 2011 11:52 AM