12
2010
Rentals benefit from weak housing market
Media coverage of the US housing market of late rarely has much good news except for a recent uptick in the Case Shiller Index thought to be a potential sign of stabilization for the housing market. Unfortunately, other data points offer a bleaker outlook, with strategic defaults of mortgages on the rise and an estimated one in five U.S. homes with a mortgage has “negative” home equity, according to Zillow.com. As a result, there is less interest in home buying for many and visits to the Real Estate category declined 22% year-over-year in April 2010, the 11th consecutive month of year-over-year traffic declines which started in June 2009.
However, visits to a custom category of Home & Apt Rental websites (excludes vacation rentals) increased 45% in April as compared to the same month last year. For the Home & Apt Rental websites, visits have increased year-over-year for the past 10 months. The rental market for houses and apartments is benefiting as a result of tightened credit markets and increased foreclosures as a housing option.
Searches around rental properties have also increased among terms driving traffic to the Real Estate category. The most popular term ranked by the overall share of search clicks is ‘apartments for rent’, which has increased 162% for the 4 weeks ending May 8, 2010 when compared to the same time period 2 years ago.
Well, these two markets are very correlated as there isn’t a lot of options to people who can’t afford to buy a property. The problem is that the total cost of renting can be more expensive than buying a property in the long run.
Media play an important role in the business of property. Televisions, newspapers and radio provided the property business information. We can know that average of loss and profit in property business. Ejendomsmægler
http://www.iproperty.dk/properties/index.php?mod=properties&func=displayListing&pro_type=sale‘
Thanks for giving the knowledge about all this. There is more demand of rental houses even it is more economic than own property.
We can get information about property management from any where. media is also a way to get information but through internet we can also get latest information.
Very informative data. Now I know why more and more real estate websites are focusing on rentals rather than property selling on their keyword searches.
Yeah i agreed with the above comment that Media, Television, Newspaper and Radio plays very important role in business of property and these are main sources that provide us important information about real estate.
Your charts define the differences between real estate and home apt rentals…As we all see home apt rentals are increasing day by day.. Great achievement.
This is very valuable and understandable blog. There is more demand of rental houses even it is more economic than own property.